diff --git a/doc/test-coverage.txt b/doc/test-coverage.txt
index 9c8b9bc..50e29b5 100644
--- a/doc/test-coverage.txt
+++ b/doc/test-coverage.txt
@@ -39,7 +39,7 @@ Automated end-to-end testing
 
 Application		Count	Description
 -------------------------------------------
-mgmt-tester		 298	Kernel management interface testing
+mgmt-tester		 299	Kernel management interface testing
 l2cap-tester		  27	Kernel L2CAP implementation testing
 rfcomm-tester		   9	Kernel RFCOMM implementation testing
 bnep-tester		   1	Kernel BNEP implementation testing
@@ -49,7 +49,7 @@ gap-tester		   1	Daemon D-Bus API testing
 hci-tester		  14	Controller hardware testing
 userchan-tester		   3	Kernel HCI User Channel testting
 			-----
-			 369
+			 370
 
 
 Android end-to-end testing
diff --git a/tools/mgmt-tester.c b/tools/mgmt-tester.c
index d019b17..55a5001 100644
--- a/tools/mgmt-tester.c
+++ b/tools/mgmt-tester.c
@@ -1628,6 +1628,7 @@ static const char set_adv_on_param[] = { 0x01 };
 static const char set_adv_settings_param_1[] = { 0x80, 0x06, 0x00, 0x00 };
 static const char set_adv_settings_param_2[] = { 0x81, 0x06, 0x00, 0x00 };
 static const char set_adv_on_set_adv_enable_param[] = { 0x01 };
+static const char set_adv_on_set_adv_disable_param[] = { 0x00 };
 
 static const struct generic_data set_adv_on_success_test_1 = {
 	.setup_settings = settings_le,
@@ -4524,6 +4525,16 @@ static const struct generic_data add_advertising_success_18 = {
 	.expect_hci_len = sizeof(set_adv_data_uuid),
 };
 
+static const struct generic_data add_advertising_timeout_expired = {
+	.send_opcode = TESTER_NOOP_OPCODE,
+	.expect_alt_ev = MGMT_EV_ADVERTISING_REMOVED,
+	.expect_alt_ev_param = advertising_instance1_param,
+	.expect_alt_ev_len = sizeof(advertising_instance1_param),
+	.expect_hci_command = BT_HCI_CMD_LE_SET_ADV_ENABLE,
+	.expect_hci_param = set_adv_on_set_adv_disable_param,
+	.expect_hci_len = sizeof(set_adv_on_set_adv_disable_param),
+};
+
 static const uint8_t remove_advertising_param_1[] = {
 	0x01,
 };
@@ -5117,7 +5128,7 @@ static void setup_add_advertising_timeout(const void *test_data)
 	memset(cp, 0, sizeof(*cp));
 
 	cp->instance = 1;
-	cp->timeout = 5;
+	cp->timeout = 1;
 	cp->adv_data_len = 6;
 	cp->data[0] = 0x05; /* AD len */
 	cp->data[1] = 0x08; /* AD type: shortened local name */
@@ -6729,6 +6740,13 @@ int main(int argc, char *argv[])
 					&add_advertising_success_18,
 					setup_add_advertising,
 					test_command_generic);
+	/* An instance should be removed when its timeout has been reached.
+	 * Advertising will also be disabled if this was the last instance.
+	 */
+	test_bredrle_full("Add Advertising - Success 21 (Timeout expires)",
+					&add_advertising_timeout_expired,
+					setup_add_advertising_timeout,
+					test_command_generic, 3);
 
 	test_bredrle("Remove Advertising - Invalid Params 1",
 					&remove_advertising_fail_1,