The Indiana Senate has approved House Bill 1052, which contains a provision banning sweepstakes casino games and proposing that those who violate such a ban may be fined up to six figures.
As the legislators changed the bill which was initially approved by the House, this bill will return to the House for the final vote.
If the Governor signs the bill, Indiana is set to be the first state in the 2026 era to ban online sweepstakes casinos by statute.
HB 1052 Explained: Final Version Approved by the Senate
House Bill 1052, a broad-based administrative measure, sets out a formal definition of a sweepstakes game for the purposes of Indiana gaming law, also giving the Indiana Gaming Commission enforcement authority.
According to the Senate amendment, a sweepstakes game shall mean any game, contest, or promotional activity that:
- Is offered online through the Internet
- Can be accessed via a mobile phone, computer, terminal, or similar device
- Uses a dual or multi currency payment system that lets players convert funds into cash prizes, cash rewards, cash equivalents, or opportunities to win them
- Replicates lottery or casino style games, including slots, video poker, table games, bingo, or sports betting
The law deliberately excludes games, contests, or promotions done by state lottery, and peer-to-peer poker games which are skill-based, from the law.
The legislation gives power to the Indiana Gaming Commission to levy on such violators a fine of up to 100,000 dollars if they intentionally operate sweepstakes gaming online including those from outside the state who simply offer their services to the people of Indiana.
The original bill described sweepstakes games as those that have a two-currency payment system.
However, the version of the House-approved bill also extends the definition of sweepstakes games to include:
- Change “dual-currency” to “dual-currency or multi-currency payment system”
- Specify that players can exchange currency for a cash prize, cash award, or cash equivalents
- Make it clear that games must be online and reachable on mobile phones or computer terminals
- Expand simulated gaming examples to cover lottery games, slots, video poker, table games, bingo, and sports betting
The Senate did not reject the main provisions of the bill by their changes. Rather, they exempted peer-to-peer poker games based on skill from the bill. On top of that, an amendment that was rejected would have regulated these games.
When the committee was considering the bill, Sen. Ron Alting, Public Policy Chairman, offered an amendment to regulate and tax sweepstakes operators instead of banning them. In the end, he said that both chambers were heavily against it, even the leaders.
Due to the amendments made by the Senate to HB 1052, the bill is now returned to the House for concurrence.
Indiana’s legislative calendar has started to be quite a factor with the 2026 session closing on Feb 27. It would not take much time for the bill to be sent to the governor’s desk for signing if the House agrees. If that is not the case, it could be the matter of a conference committee that will decide.
Had the bill received the governor’s signature, it would have come into force on the 1st of July. Indiana would likely be the very first state in 2026 to ban sweepstakes casinos, thus becoming the seventh state joining the other six that in 2025 passed similar bans.
