How to Get a Lottery Retailer License in Missouri

  • Home
  • How to Get a Lottery Retailer License in Missouri

How to Get a Lottery Retailer License in Missouri

Surety Bond Professionals is a family owned and operated bonding agency with over 30 years of experience. With access to a broad range of surety markets, our expert agents are ready to assist with a Missouri Lottery Retailer Bond.

How Do I Get a Lottery Retailer Agents License?

The Missouri Lottery (MOLottery) issues licenses to prospective lottery retailers who meet all eligibility criteria and location requirements. Download the Missouri lottery retailer license application packet and complete it according to the instructions.

What Does the Licensing Process Involve?

The license application packet includes several forms to complete, including:

  • EFT Authorization Agreement
  • Retailer Application
  • Retailer Agreement
  • Vendor Input Form
  • Retailer Contract for Equipment

There is a $30,000 bonding requirement that applies to all lottery retailers. The bond certificate must be submitted with the completed application packet and must be renewed annually.

Why Is a Lottery Bond Required?

A Missouri lottery bond protects MOLottery (the bond’s “obligee”) and the public against financial harm stemming from a lottery retailer’s failure to comply with the lottery statutes and MOLottery rules and regulations. That protection derives from the requirement that the lottery retailer (the bond’s “principal”) operate in accordance with applicable laws and compensate MOLottery or any other injured party experiencing a monetary loss because of a violation.

How Does a Lottery Bond Work?

A Missouri lottery bond agreement establishes a legally binding contract between the bond’s obligee, the principal, and the bond’s guarantor (the “surety”). That contract legally obligates the principal to pay valid claims up to the bond’s full $30,000 coverage amount. But in practice, the surety will pay a claim initially and be reimbursed by the principal. In this manner, the claim is resolved promptly, and the principal has a little time to come up with the funds to repay the surety.

Bear in mind the terms of the surety bond agreement indemnify the surety against any legal liability for claims. Consequently, the surety has the right to take legal action against a principal who fails to repay the debt created by paying a claim on the principal’s behalf.

What Does a Lottery Bond Cost? 

Applications for Missouri lottery bonds go through an underwriting assessment of the risk to the surety—specifically, the risk of not being repaid by the principal. The underwriters rely heavily on the principal’s personal credit score as a measure of that risk. A high credit score shows that the principal has a history of being financially responsible, which means a low risk to the surety.

Lottery bonds typically cost in the 1-2% range for applicants with good credit. Applicants with lower credit scores may pay a higher premium rate.

Get a Quote

Our surety bond professionals will get you the lottery retailer bond in Missouri that you need at a competitive rate.