Managing Liability Risk

Gambling in Society: A Question of BalancePresenters: Rob Simpson & Amy Perry

April 5, 2008

The Core Question

Do providers owe a duty of care to PGs? opinion is passionate and divided

not unlike the alcohol industry, pre-Menow Kalajdzic and Sasso; Cameron; Kalajdzic

up to the courts to decide two options:

do nothing and wait do something and wait

What is the Risk?

Kalajdzic & Sasso study identified:1. player loyalty programs2. self-exclusion programs

this presentation will: explore strategic responses illustrate with applied examples

Loyalty Programs

programs track gambling history & losses establishes foreseeability

escalating losses escalating comps parallels intoxication in bars

establishes proximity personal data (including postal codes) regular mailings

Loyalty Programs & Duty of Care

Duty of Care: addresses likelihood of harm, not certainty determines and balances responsibility requires reasonable steps to identify/intercept met through Standard of Care

• can be self-defined (e.g. physicians)

• can be imposed

Overall Goals for Providers

1. Establish defensible track record: prevention of harm interception of harm research (objective) validation of efforts

2. Redress systemic inconsistencies align policies and procedures informed – disinformed continuum

Strategy for Loyalty Program Members

divide members into high and low risk use mathematical algorithms (iCare) use proxy indicators (OLG)

adopt ‘early intervention’ for HR members act while problems are manageable

adopt ‘prevention’ for LR members Risk Avoidance + Risk Reduction

Loyalty Program Goals

High Risk: better equip individuals to act in self-interest balance responsibility for failure to act

Low Risk: remove foundations for exceeding limits failure to apply becomes player’s choice

High Risk Members (example)

provide information about:

nature of problem gambling/impaired control describe signs; provide self-assessment link to appropriate help; remove barriers the imperative of taking action

develop into ongoing campaign

monitor players; escalate as needed

Low Risk Members (example)

goals: reduce risk of onset focus on modifiable risk factors develop theory-based resources evaluate/establish impact distribute extensively eliminate inconsistencies in practice

Role of Information (Knowledge)

goal: ‘create informed gamblers’

information ignorance

implied paradigm

Role of Information wrt Slots

information disinformation

alternate paradigm

Disinformation

[mass noun] false information which is intended to mislead, especially by propaganda issued by a government organization to a rival power or the media.

- Oxford Dictionary

Types of Slots Disinformation

near misses and nudges visibility of winning symbols loud noises for all winners ability to reserve a specific machine having stop buttons jackpot payout advertising

Cognitive Restructuring

In support of behaviour change:

identify target behaviour/consequences specify erroneous cognition link erroneous cognition to risk behaviour identify factual fallacy behind error specify factually accurate cognition link new cognition to desired behaviour

Aligning Policies & Procedures

establishes sincerity/reduces cynicism eliminate inconsistencies in practice

reserving slot machines ATMs on gaming floor posting lottery number frequencies

remove/reduce/counter disinformation informing players of machine characteristics