A vehicle can remain parked for months after its owner dies. Family members may know who should receive it, but they cannot legally sell or retitle the car until the estate is settled. Several states address that problem with a single line on the title. The option is known as a transfer-on-death vehicle title, or beneficiary designation, and it names the person who will receive the car after the owner’s death.
This is the vehicle counterpart to a payable-on-death bank account. Probate is the court process used to settle a deceased person’s estate, and a car with a named beneficiary can bypass that process.
How a Title Beneficiary Works
The owner submits a form to the state motor vehicle agency, and the beneficiary’s name is added to the title. While the owner is alive, nothing about ownership changes. 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 transfers automatically to the beneficiary once all legal owners have died, avoiding probate court.
Where the Rule Appears in State Law
Ohio spells out the rule in Ohio Revised Code § 2131.13, and the current version took effect June 30, 2021. It allows a sole owner to apply for a new title showing the vehicle is “in beneficiary form.” Joint owners with right of survivorship may apply together. Nevada uses a 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.
State law determines whether the option is available at all. 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.
Who Qualifies and Who Does Not
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 active 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 a different beneficiary. The designation must be added before the owner dies.
How the Nevada Filing Process Works
The owner completes VP 239, checks the box to add a beneficiary, and enters the beneficiary’s legal name.
The owner submits the original title, the form, and a $20 fee in person or by mail.
A new title naming the beneficiary arrives in about 8 weeks, while the current registration remains valid.
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 requirements, and fees on their motor vehicle agency websites.
What Can Disrupt the Plan
In Nevada, all loans and liens must be paid off before ownership can transfer, 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 be covered to drive the car. The title also keeps whatever name is printed on it. After a divorce or the death of a beneficiary, the old designation remains until the owner applies for a new title, which is how Missouri handles changes.
In the end, it comes down to one visit to the motor vehicle office while the owner is still able to sign the form. A car is just one item on a longer list of beneficiary forms, titles, and account designations that determine whether assets transfer smoothly or end up in court.
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