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How to Get a Lottery Retailer License in Pennsylvania

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Continue below to learn more about lottery retailer licensing in Pennsylvania. If you have additional questions or want to explore bonding solutions for your business, speak with one of our knowledgeable surety bond experts.

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Who Licenses Lottery Retailers?

To sell lottery tickets in Pennsylvania, you’ll need to be licensed by the Pennsylvania Department of Revenue, Bureau of State Lotteries. You must already own a retail establishment to be approved for a lottery retailer license.

img Why Is a Surety Bond Required?

The Pennsylvania Code, Chapter 805.9 gives the Pennsylvania Lottery Bureau the right to require the purchase of a surety bond as a condition for licensing when they believe that is necessary in order to “avoid any monetary loss to this Commonwealth because of the activities of an agent in the sale of lottery tickets.” The bond provides a way to compensate the Pennsylvania Lottery or other party for monetary damages incurred as a result of a licensed lottery agent’s unlawful or unethical actions.

Not all applicants for a lottery retailer license will be required to purchase a lottery bond. When a bond is required, the Lottery Bureau will determine the required amount on a case-by-case basis.

img How Do They Work?

A Pennsylvania lottery bond is a legally binding contract among three parties: an obligee requiring the bond, a principal required to purchase the bond, and a surety guaranteeing the payment of claims. The Pennsylvania Lottery Bureau is the obligee, the lottery retailer is the principal, and the bond’s guarantor is the surety.

The principal is legally obligated to pay any claims against the bond that the surety finds to be valid. However, the surety has guaranteed that all valid claims will be paid. Therefore, the surety will pay a valid claim at first, and then be reimbursed by the principal. The initial payment by the surety does not let the principal off the hook. It merely shifts the principal’s legal obligation to repayment of the debt now owed to the surety.

What Are the Steps in the Licensing Process?

To obtain an application for a Pennsylvania lottery retailer license, complete the online contact form found on the Pennsylvania Lottery website. Your expression of interest in selling lottery products in your retail establishment will trigger a call from a Pennsylvania Lottery representative who will outline the licensing process for you and guide you through it if you decide to proceed.

Your completed application authorizes the Pennsylvania lottery to conduct a credit check, criminal records check, tax clearance check, and an ADA (Americans with Disabilities Act) inspection of your establishment. If the Pennsylvania Lottery Bureau finds that you don’t meet their financial responsibility standards, you may be required to furnish a Pennsylvania lottery agent bond before you will be granted a license.

 

 

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What Do They Cost?

The annual premium for a Pennsylvania lottery bonds is calculated by multiplying the required bond amount established by the obligee and the premium rate set by the surety. That premium rate is the result of an underwriting assessment of the risk of not repaying the surety for claims paid by the surety on the principal’s behalf.

The most reliable risk indicator is the principal’s personal credit score, which is a direct reflection of the individual’s level of financial responsibility. A high credit score is correlated with low risk and deserves a low premium rate, perhaps less than 1%. Conversely, a low credit score signals higher risk and results in a higher premium rate.

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How Do Pennsylvania Lottery Bonds Work?

  • Choose Your Bond Type

    Select the bond you need — commercial, contract, or any specialized bond. We help you find exactly what is required in your state.

  • Submit a Quick Application

    Complete a short online form. It only takes a few minutes, with no extra paperwork or long verification steps.

  • Get Approved & Receive Your Bond

    Get fast approval and receive your bond instantly by email. Your document is ready to use right away.

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As an independent agency, we can leverage our carrier network to find the most competitive rates for the bonds you need.

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What our customers say about us

Super easy process. I found the bond I needed in minutes and received the approved document the same day. Great experience overall.

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The application was fast, the support team was responsive, and the pricing was clear. Very smooth and professional. Everything was explained clearly, and I appreciated how quickly I received my bond.

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The application was fast, the support team was responsive, and the pricing was clear. Very smooth and professional. Everything was explained clearly, and I appreciated how quickly I received my bond.

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