Indiana’s effort to ban sweepstakes casinos just took another big step, but it is not finished yet. On Feb. 18, 2026, the Indiana Senate passed HB 1052 by a 37–8 vote. Earlier this month, the Indiana House approved the bill 87–11. However, because senators added amendments, House members filed a motion to dissent, which sends the bill to a conference committee.
If lawmakers reach an agreement and pass the final version, the ban would take effect on July 1, 2026. Supporters say the bill closes a loophole and protects consumers. Critics say the state should consider regulation instead of a ban.
Where The Bill Stands Right Now
After the Senate vote, the bill went back to the House for approval of the changes. Instead of agreeing, House lawmakers chose to dissent. That means a small group of lawmakers from both chambers will now try to work out a single compromise version.
This matters because Indiana’s session is scheduled to end on Feb. 27, 2026. If the conference committee cannot agree quickly, the bill could stall, even after passing both chambers in some form.
Even if the conference committee reaches a deal, the final version must still be approved again by the House and Senate before it can go to the governor.
What HB 1052 Would Ban in Indiana
HB 1052 creates a legal definition for a “sweepstakes game” and treats it like illegal gambling if it is offered online to people in Indiana.
The bill targets games, contests, or promotions that are available on the internet and playable on a phone or computer. It focuses on platforms that use a dual-currency or multi-currency system and let players exchange currency for a cash prize, a cash equivalent, or a chance to win one.
It also looks at what the games simulate. The bill covers products that imitate casino-style or lottery-style gaming, including slots, video poker, table games, bingo, and even sports wagering-style play.
The punishment in the current version is mainly civil. The Indiana Gaming Commission would be able to issue a civil penalty of up to $100,000 per offense for operators or individuals who knowingly run a sweepstakes game online involving someone located in Indiana. The bill also includes language aimed at out-of-state operators that still take Indiana players.
The Senate version also added one important carveout: it excludes peer-to-peer skill-based poker from the sweepstakes definition.
Why Lawmakers Advanced It and What Happens Next
Supporters say Indiana needs clearer rules because sweepstakes casinos operate outside the state’s licensed gambling system. They argue these sites do not pay Indiana gaming taxes and do not follow the same consumer protection standards as regulated casinos and sportsbooks.
Indiana regulators have also said they lack clear authority under current law to send cease-and-desist letters to sweepstakes operators “in good faith.” Supporters say HB 1052 would give the state stronger legal footing to enforce a ban.
During hearings, some lawmakers discussed regulating sweepstakes casinos instead of banning them. Industry groups and some operators have argued regulation could add safeguards, taxes, and oversight while pushing out truly illegal sites. But in Indiana, that idea did not gain enough support, and the bill kept moving as a prohibition.
Now, the big question is the conference committee. If lawmakers settle the amendments quickly, Indiana could become one of the first states in 2026 to pass a clear sweepstakes casino ban with a defined enforcement system.