Sports booking giants DraftKings, FanDuel, and Caesars enact fees for Illinois sports betting services
In a recent development, several sports betting operators in Illinois have introduced changes to their betting policies, including new minimum bet amounts and per-bet fees.
As of September 1, 2023, DraftKings, FanDuel, Caesars Sportsbook, BetRivers, PointsBet, and Barstool Sportsbook have implemented a per-bet fee in the state. The fee ranges from $0.25 to $0.50 per bet, with BetMGM requiring a minimum bet amount of $2.50 and BetRivers setting the bar at $1.
Notably, Hard Rock Bet and BetRivers have recently upped their minimum bet amounts, joining BetMGM in requiring a higher minimum bet from users.
The changes come as a result of a new state fee, which charges all licensed operators a fee of $0.25 on their first 20,000,000 online sports bets each year, increasing to $0.50 per bet for every bet taken after the initial 20,000,000. This new fee is expected to bring in $36 million annually to the state.
The news has been met with some resistance from Illinois sports betting users, who were surprised by the early implementation of the new fee structure. Some users had believed that the new fees would not begin until later in the year.
However, DraftKings has announced that it will not pass through the per-wager tax on certain types of bets, including parlay wagers with a stake of $10 or more, singles bets with a stake of $50 or more, bets placed using a bonus bet token, and bets placed by customers that are at Silver tier loyalty status or higher in the DraftKings Loyalty program at the time the applicable bet is placed.
ESPN BET and Fanatics Sportsbook have also announced that they will charge Illinois users a $0.25 fee, though the start date for Fanatics Sportsbook has yet to be announced. Circa Sports, on the other hand, has set a $10 minimum bet amount for its Illinois customers.
Interestingly, bet365 is the only sportsbook that has yet to make any changes for its Illinois customers.
In total, nine out of the ten licensed Illinois sports betting operators have changed their policies in the Prairie State. Users are encouraged to review the updated policies of their preferred sportsbooks to understand the new minimum bet amounts and per-bet fees.
