How a Simple Title Designation Can Let a Car Pass to an Heir Without Probate

A car can remain parked for months after its owner dies while the family waits for a court to decide who receives it. In several states, a simple designation on the title can prevent that delay, but many people do not know the option exists.

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The vehicle version of a payable-on-death arrangement is known as a transfer-on-death vehicle title, or beneficiary designation. It names the person who will receive the car after the owner dies, allowing the vehicle to bypass probate, the court process that settles a deceased person’s estate.

Several states have built this feature into their title systems. As with bank accounts that include payable-on-death instructions, the idea is to make the transfer automatic and avoid the need for court approval.

How the Title Language Works

The owner files the required form with the state motor vehicle agency, and the beneficiary’s name is added to the title. The owner’s rights do not change while alive. Nevada’s DMV says the beneficiary has no control or ownership of the vehicle during the owner’s lifetime. The owner can still sell the car or remove the beneficiary. After death, Nevada says ownership passes automatically to the beneficiary once all legal owners have died, which the agency says avoids probate court.

Where States Put the Rule

Ohio sets out the rule in Ohio Revised Code § 2131.13, and the current version took effect June 30, 2021. It allows a person whose title shows sole ownership to apply for a new certificate of title showing the vehicle as being in beneficiary form. Joint owners with right of survivorship may apply together. Nevada uses its Transfer on Death Application, form VP 239. Missouri’s Department of Revenue also permits TOD beneficiaries and says any change requires a new title application.

Whether the option exists at all depends on state law. Texas law refers to a related tool, the rights of survivorship agreement. Tex. Tax Code § 152.094(b), added in 2025, says the state’s motor vehicle taxes do not apply to a transfer under that agreement or to a transfer from an estate to a recipient, meaning an heir receiving estate property.

Who Can Use the Option

Nevada’s rules are straightforward: owners must be natural persons, the vehicle must be titled in Nevada, and the DMV says up to three owners plus one beneficiary may be listed. Vehicles with an outstanding loan or lien, leased vehicles, and business-owned vehicles are not eligible. Titles held as tenants in common do not qualify, and multiple owners cannot each name different beneficiaries. The designation must be added before the owner dies.

Alternatives When There Is No Beneficiary Line

• Simplified estate forms. Nevada offers form VP 024, Estates Without Probate, for heirs when no transfer-on-death designation exists. California uses REG 5, an affidavit for transfer without probate for California-titled vehicles. These forms are used after death, so the heirs complete the paperwork, and eligibility depends on each state’s rules.
• Joint ownership. On a Nevada title reading “Person 1 And Person 2,” all owners must sign the beneficiary form. If the title uses “OR,” either owner may sign alone. That setup also gives the co-owner actual rights to the vehicle during life.
• Revocable living trust. The car can be retitled into a trust that the owner controls, and the trustee transfers it after death. Creating one usually requires a lawyer and more paperwork. Texas taxes a car received from a decedent’s revocable trust as a gift under Tex. Tax Code § 152.025(a)(1)(B).

How the Nevada Process Works

1. The owner completes VP 239, checks the box to add a beneficiary, and enters the beneficiary’s legal name.
2. The original title, the form, and a $20 payment are submitted in person or by mail.
3. A new title listing the beneficiary arrives in about eight weeks, and the current registration remains valid.
4. After the owner’s death, the beneficiary presents certified death certificates for all owners, the original title, and a $20 title fee.

Other states post their own forms, signature rules, and fees on their motor vehicle agency websites.

Loans, Insurance and Outdated Names Can Complicate Things

In Nevada, all loans and liens must be paid off before the transfer can take place, and adding a loan later automatically removes the beneficiary. Auto insurance is a separate contract in the owner’s name, so the insurer decides whether the beneficiary may drive the car. The title also keeps the name printed on it. After a divorce or the death of a beneficiary, the old designation remains until the owner files for a new title, which is how Missouri handles changes.

In the end, it comes down to a single trip to the motor vehicle office while the owner is still able to sign. A car is only one item in a broader set of beneficiary forms, titles, and account designations that determine whether assets transfer smoothly or get tied up in court.