Kelly, check out this post with a large picture. It overlaps with the in-post ad.
Sample post with ad
Honestly I don't have a problem with this. The reasons are 1) this picture is WAY to big for any post. Something that I wish I could control to prevent people from posting huge pictures like this. And 2) the occlusion is very minor and while the picture interfere's with the ad, the ad does not interfere with the picture. I would have been more concerned if the ad was overlaying/interfering with the picture. I would consider this a rare occurrence and one that really isn't a problem in my opinion.
If anything, pictures like this is what people with very low resolution displays should be complaining about.