ABOUT US

Lottery couriers are service providers that offer a secure and convenient way for age and location-verified Texans to order official state lottery tickets through a website or mobile application. Those orders are then fulfilled at a licensed lottery retailer, in full compliance with state law. Lottery courier services have operated in Texas since 2019, increasing the convenience and accessibility of the Texas Lottery, which voters approved in 1991.  

The Coalition of Texas Lottery Couriers was created by the three largest lottery couriers operating in the State of Texas –– Jackpocket, Jackpot.com, and Lotto.com –– to educate Texans about lottery courier services and to advocate for an industry licensing structure that holds all operators to clear, enforceable requirements, as they are in other states. 

Coalition members are committed to operating with the highest ethical and operational standards that comply with state law, protect customers and provide a reliable service of convenience for Texans who enjoy playing the Texas Lottery, which generated $1.98 billion for the state’s Foundation School Fund and $26.8 million to the Fund for Veterans Assistance in 2023. 

THE FACTS

How Texas Lottery Couriers Work 

  • Lottery courier services, which operate in 19 states and began operating in Texas in 2019, offer a secure and convenient way for adults in Texas to order official state lottery tickets. Using lottery courier digital platfoms, age and location-verified players place orders for lottery games that are fulfilled on a user’s behalf at a licensed lottery retailer in Texas, in compliance with state law. A scanned image of the ticket is sent to the user before the ticket is securely stored.  

  • Credit cards are not accepted, in compliance with state law. Verified adults have the option of linking a debit card, bank account, Venmo, or PayPal to their accounts on the platform. 

  • In compliance with state lottery regulations, couriers in Texas pay out winnings up to $599.99 directly to users by immediately crediting their accounts. For prizes $600 and above, users are provided their physical tickets to claim their winnings from a Texas Lottery Claim Center. Members of the CTLC do not take any portion of a winning ticket’s prize money, and do not charge a fee to deliver winning tickets to customers. 

SAFEGUARDS

  • The State of Texas requires a person to be 18 years or older to play the Texas Lottery. Before a player can use a lottery courier platform, they must first pass a rigorous verification process that uses state and local records to confirm a player’s age and identity.  

  • Courier platforms cannot be used to order lottery tickets from other states. A geo-location process on the platform verifies adult players are located in Texas before allowing them to order Texas Lottery tickets.  

  • Members of the CTLC, in addition to complying with all applicable state laws and regulations, have also received Internet Compliance Assessment Program (iCAP) accreditation which demonstrates their commitment to responsible gaming practices. Devised by a panel of gambling harm prevention experts, iCAP certification requires couriers to implement best practices in player protection, endorsed by the National Council on Problem Gambling.  

  • When players set up their accounts, they are given the option to set their own spending and funding limits. Players may also choose to “self-exclude” which prevents players from funding their accounts, receiving marketing materials or placing orders during a specified period. 

PLAYING THE TEXAS LOTTERY

  • Texas ranks fourth in the country for lottery ticket sales. In 2023, the Texas Lottery reached a record $8.73 billion in sales, netting over $2 billion for public education and veterans services. According to the Legislative Budget Board, Texas lottery couriers accounted for about $173 million of the Texas Lottery’s draw game sales, approximately 9%, in fiscal year 2023.

  • Couriers serve a younger demographic that is increasingly tech-savvy and convenience-motivated, as well as rural players who may live far from a lottery retailer and those for whom going to a licensed lottery retailer is difficult. 

Proposed State Regulatory Standards

The Coalition of Texas Lottery Couriers supports state regulatory standards for our industry that holds all operators to clear, enforceable requirements and protects our customers. 

Licensing/Registration Requirements 

  • Companies must submit application, undergo background investigation, and qualify for a Texas courier license or registration 

  • No courier may operate in Texas without license/registration 

  • License/registration is revocable for violations of regulations 

Platform Requirements 

  • No international or bulk ticket orders allowed

  • Age verification to ensure only persons 18+ and not self-excluded can place an order

  • Geo-location must limit orders to only those physically located in Texas

  • No credit card transactions

  • Ticket confirmation and notification must be sent to customers

  • Records of customer purchases must be maintained

Compliance Audit Requirements 

  • Annual audits of financial statements 

  • Annual SSAE 18 (SOC) audit  

  • Independent third-party product testing required for license/registration 

  • Annual anti-money laundering audit 

Insurance Requirements 

  • Cyber liability insurance, E&O insurance, D&O insurance and other necessary coverage 

Responsible Gaming Safeguard Requirements 

  • Must provide customers the ability to self-exclude 

  • Maximum daily/weekly/monthly deposit and spend limits controlled by the customer 

Advertising & Marketing Requirements 

  • Advertisements must contain problem gambling assistance message (If you or someone you know has a gambling problem, call 1-800-GAMBLER.) 

  • No advertising to self-excluded persons 

  • Compliance with North American State and Provincial Lotteries advertising guidelines 

frequently asked questions

  • Lottery courier services, which operate in 19 states and began operating in Texas in 2019, offer a secure and convenient way for age and location-verified adults to order official state lottery tickets, which are then fulfilled by a courier at a licensed lottery retailer, in full compliance with state law. 

  • No. Texas law requires lottery ticket purchases to occur in person at a licensed brick-and-mortar lottery retailer. Although customers order their tickets using a courier platform, the actual purchase is made on their behalf in-person at a licensed lottery retailer, in compliance with state law. The courier service then scans and uploads an image of the ticket to the user’s account before storing the ticket securely.

  • No. Credit cards are not accepted. Verified adults have the option of linking a debit card, bank account, Venmo, or PayPal to their accounts on the platform.

  • Texas law requires a person to be 18 years or older to play the Texas Lottery. Before a player can use the platform, courier services require users to pass a rigorous third-party age verification process that checks customer information against state and local records to confirm they are of legal age.  

  • No. Verified adult players may only order lottery tickets in the state where they are physically located. For instance, a geo-location process would prohibit a Texan from using the platform to order a Texas Lottery ticket while traveling outside of the state. 

  • No. Tickets ordered through a lottery courier platform and fulfilled by a courier service have the same chance of winning as tickets not ordered through a courier platform. 

  • In compliance with state lottery regulations, couriers in Texas pay out winnings up to $599.99 directly to users, by crediting their accounts. For prizes $600 and above, users are provided with their physical tickets to claim their winnings from a Texas Lottery Claim Center. Members of the Coalition of Texas Lottery Couriers do not take any portion of a winning ticket’s prize money and do not charge a fee to deliver winning tickets to customers.

  • Members of the Coalition of Texas Lottery Couriers, in addition to complying with all applicable state laws and regulations, have also received Internet Compliance Assessment Program (iCAP) accreditation. Devised by a panel of gambling harm prevention experts, iCAP certification requires couriers to implement best practices in player protection, endorsed by the National Council on Problem Gambling.  

    When customers set up their accounts, they are given the option to set their own spending and funding limits. Customers may also choose to “self-exclude” which prevents them from funding their accounts, receiving marketing materials or placing orders during a specified period.  

    CTLC member platforms also prominently display messages that clarify customers must be 18 or older, encourage them to play responsibly, and reaffirm that if they or someone they know has a gambling problem, to call 1-800-GAMBLER. These messages are also included in all marketing materials.  

  • The systems used by members of the Coalition of Texas Lottery Couriers to take orders from customers do not collect unauthorized data, file extraction, malware or any other feature that would compromise the integrity of the customer electronic devices or the data they contain. These systems also electronically log all account activity, and customers are notified via email or phone number every time their accounts are accessed. CTLC members do not sell customer data. CTLC members undergo an annual SOC 2 Type 2 audit which independently verifies that each platform has effective internal controls and security practices in place to protect customer data.

  • Yes. In 2023, the Texas Lottery reached a record $8.73 billion in sales, netting over $2 billion for public education and veterans services. According to the Legislative Budget Board, Texas lottery couriers accounted for about $173 million of the Texas Lottery’s draw game sales, approximately 9%, in fiscal year 2023. 

SUPPORT YOUR ACCESS TO COURIERS

By providing your information for our petition, you will help demonstrate that millions of Texans use lottery courier services and oppose any attempts to take this option away.  We will also share important developments with you as the bill is considered, as well as ways you can have an impact on the debate.

NEWS