In Michigan, iGaming, Helpline Calls Soar

Online gambling and sports betting have taken off in Michigan, generating $260 million in receipts from late January through March. But in February, the Michigan Problem Gambling Helpline reported a fivefold spike in calls.

In Michigan, iGaming, Helpline Calls Soar

In late January, in the first 10 days that Michigan residents could gamble and place sports bets online, operators collected $42.7 million in gross receipts, according to the Michigan Gaming Control Board. In February, the Michigan Problem Gambling Helpline took 563 calls—more than five times the number of calls placed in February 2020.

Michelle Malkin, a Ph.D. candidate studying problem gambling at Michigan State University’s school of justice, said, “Casinos are at limited capacity right now because of the pandemic. The only thing that could really explain this is the growth of online gambling. Because that’s really the only big change that’s happened in Michigan.”

Online gaming took off as soon as it was opened in January this year. Operators collected almost $260 million in gross receipts from January through March, according to the Michigan Gaming Control Board. They paid more than $36 million in taxes that go to local and state funds that pay for internet gaming law enforcement, problem gambling prevention, a fund for first responders and more.

In 2019, when Governor Gretchen Whitmer signed online gambling and sports betting legislation, the Michigan gambling helpline received 50 to 150 calls per month, officials said. The calls started to increase in October, two months after Michigan’s nontribal casinos were allowed to reopen. Call numbers still are well above average compared to call volumes since 2017.

Jim Loree, a mental health and addictions therapist at the Lansing Institute of Behavioral Medicine, noted for every call to the helpline, at least 10 more people are dealing with a gambling addiction. “The real problem with gambling addiction is when somebody gambles for the first or second or third time and they win really big. Then they get in their mind that they won once, they can win again. And the truth is they can win again. The problem is, we’re talking about probability. The probability is they won’t win again or they won’t win frequently enough to make up for the losses. Hence why so many venues for gambling are still around,” Loree said.

Besides legalized online gambling, Covid-19 also had a major impact on Michigan’s gambling industry last year. According to Alia Lucas, MDHHS Gambling Disorder Program specialist, much of the advice problem gambling prevention specialists used to give, like “avoid going alone” or “play with a specific amount of cash, not your credit card,” doesn’t apply anymore. She said, “With the changing landscape and accessibility to gambling, the concern now is that an individual can sit at home on their couch with their phone and gamble to their heart’s content.”

Lucas said the state’s Gambling Disorder Program is working on increasing public awareness of gambling disorders and treatment and reaching younger people. The program actually has more money thanks to online gambling and sports betting, which direct $1 million annually to the Compulsive Gaming Prevention Fund. Now the fund has an annual budget of $5 million, Lucas said.

Malkin, who researches gambling addiction, noted, “The biggest expansion has been through the internet. And each time there’s an expansion they’re getting a new crowd of people with the potential to end up being a problem gambler.”

She believes Michigan should do more to educate people, particularly young people and parents, about problem gambling. “If anybody’s watching TV these days they’re inundated with commercials about all the different ways to access online gambling. You’re not seeing an equal number of things about what to do if you have a problem,” Malkin said.

The Michigan Problem Gambling Helpline is available at 1-800-270-7117. Counselors provide free, confidential service 24/7. The helpline can connect people with the state’s disassociated persons list, which allows them to sign themselves up for a 5-year or lifetime ban from Detroit casinos. Also, the internet gambling responsible gaming database allows people to ban themselves from online gaming platforms or limit the amount they have to gamble with daily.