Published on: January 20, 2026, 10:54h.
Updated on: January 20, 2026, 10:58h.
- Kathy Hochul, Governor of New York, advocates for health insurance coverage for problem gambling treatment
- New York stands as the leading beneficiary of online sports betting tax revenues
Governor Kathy Hochul (D) embarks on her fifth full year in office, with a clear goal of addressing the escalating problem gambling rates in New York.
With over $5 billion in annual commercial revenue from casinos, video lottery terminals, and sports betting, New York is already a major player in the gaming sector. This industry is projected to expand further with the introduction of three full-scale casino resorts in the downstate region.
Anticipating the increase in gaming devices and options, Hochul emphasizes the importance of addressing compulsive gambling in her 2026 agenda. As part of her initiative titled “Building Resilient Communities for New Yorkers,” the governor commits to enhancing prevention strategies, treatment options, and harm reduction concerning problem gambling.
Insurance Coverage for Gambling Treatment
According to Hochul’s 2026 agenda, a “data-driven” approach will be employed, utilizing “evidence-based practices and supports” to mitigate the societal impacts linked to New York’s thriving gambling scene.
New York legalized four upstate and three downstate casinos in 2011, followed by the addition of online sports betting in 2022. The state gains significantly from its legalized gambling framework, with nearly $2.3 billion in tax revenues from casinos, VLTs, and sports betting reported in 2024. New York is unmatched in the benefits derived from online sports betting.
However, the over $5.17 billion won from bettors has impacted consumers adversely, with many facing financial hardship, strained relationships, addiction issues, and mental health crises.
Hochul is advocating for health insurance providers to cover treatment for problem gamblers.
The governor aims to propose legislation to ensure that addiction disorder treatment is included in insurance coverage. Her agenda states, ‘By investing in evidence-based methods to prevent and treat gambling addiction, the Governor will ensure that the expansion of gambling does not negatively impact New Yorkers.’
New York remains the most-visited state in the nation, with almost 10 million annual tourists. According to the International Trade Administration, New York City is the top city for visitors, welcoming over 9.5 million in 2024, with Florida and Miami following as the second most popular state and city.
Additional Gaming Efforts
In addition to requiring health insurers to cover treatment for gambling problems, Hochul is working to restrict betting platforms’ use of AI-driven features that could “exploit consumers’ gambling behaviors” through personalized promotions and incentives. The governor also intends to direct the New York State Gaming Commission to explore how technological advancements might aid in identifying and supporting problem gamblers proactively.
Finally, Hochul requests that the state gaming commission investigate effective methods to ensure that individuals not legally allowed to gamble are prevented from bypassing regulations by using offshore betting apps or other individuals’ accounts.
“These initiatives will safeguard young individuals against the dangers of online gambling, which encompass significant financial losses and addictive behaviors,” concludes the governor’s office.