Insurer Allianz has been charged with making false or misleading statements about its travel insurance products.
Allianz and its underwriter AWP are accused by ASIC of misrepresenting the nature of travel insurance on offer to customers between 2016 and 2018.
Allianz has been charged with seven counts and AWP with one count of making false or misleading statements. The maximum penalty per charge is more than $8 million.
The corporate regulator investigated the issue and referred it to commonwealth prosecutors after it was canvassed by the banking royal commission.
In a statement on Tuesday, ASIC said information on Allianz's website misrepresented the characteristics or level of travel insurance coverage.
In some cases, ASIC alleged Allianz failed to detail relevant limits, conditions or exclusions when advertising the maximum travel insurance benefits payable to customers.
The matter was heard in Sydney's Downing Centre Local Court on Tuesday and is due back on April 20.