What Happens If Two People Own a Car And One Dies in Indiana
When one of two co-owners on an Indiana vehicle title passes away, the surviving owner or estate representative must follow specific procedures with the Bureau of Motor Vehicles to establish ownership and update the title and registration. Indiana law recognizes multiple forms of co-ownership, including joint tenancy, tenancy in common, and transfer-on-death (TOD) beneficiary interests, and the procedure for updating vehicle ownership depends on the form used.
Determine How the Names Appear on the Indiana Car Title
Under Indiana law, the form of co-ownership is determined by the title structure. According to IC 32-17-11-29, personal property owned by two or more persons is owned as tenants in common unless the written instrument expressly states otherwise.
If the Title Shows Survivorship Language
If an Indiana certificate of title explicitly designates joint tenancy with right of survivorship or contains a transfer on death beneficiary designation, the surviving co-owner or designated beneficiary acquires the vehicle by operation of law. Under IC 9-17-3-9, vehicle owners may create a transfer on death interest in a vehicle by obtaining a certificate of title with the appropriate designation. Upon the owner's death, the named beneficiary must present the title and a death certificate to the Bureau of Motor Vehicles to apply for a new title in the beneficiary's name.
If the Title Does Not Show Survivorship Language
If the title names two or more owners without explicit survivorship or transfer-on-death language, Indiana law presumes the vehicle is held as tenants in common. When personal property is held as tenants in common, each owner holds an undivided share, and upon death, that owner's interest does not automatically pass to the surviving co-owner but instead becomes part of the decedent's estate.
The surviving co-owner of a tenancy-in-common vehicle cannot assume sole ownership without going through an estate procedure. According to IC 29-1-2-1, personal property interests descending from a decedent are owned as tenants in common and pass through the decedent's estate according to the laws of descent and distribution. The deceased owner's share must be transferred through probate court or via a qualifying small estate affidavit.
Indiana Car Title Rules After One Owner Dies
The procedure for transferring vehicle ownership after a co-owner's death depends on the title's form of ownership. If the vehicle is titled with survivorship rights or a transfer-on-death beneficiary is designated, no probate court involvement is required. The surviving owner or TOD beneficiary applies directly to the Bureau of Motor Vehicles for a new title by submitting the current title, a death certificate, and Application for Certificate of Title for a Vehicle (State Form 205).
If the vehicle is held as tenants in common, the surviving co-owner must work with the decedent's estate to transfer the deceased owner's interest. The procedure depends on the estate's total value. If the estate qualifies as a small estate under Indiana law, an Affidavit for Transfer of Certificate of Title for a Vehicle/Watercraft (State Form 15187) may be used to avoid formal probate. For larger estates or when the decedent has a will, the personal representative must obtain probate court authorization and provide those court documents with the title application.
The surviving co-owner of a tenancy in common vehicle should not attempt to unilaterally apply for a new title in their name alone. Doing so would not transfer the deceased owner's interest and would not comply with Indiana's estate laws.
Does a Car Go Through Probate in Indiana if One Owner Dies?
The answer depends on the form of ownership. If the vehicle title provides for survivorship rights or contains a transfer-on-death beneficiary designation, probate is not required. The surviving owner or TOD beneficiary acquires ownership directly and applies for a new title at the Bureau of Motor Vehicles.
If the vehicle is held as tenants in common, Indiana law provides for both formal and simplified procedures depending on the estate's value. According to IC 29-1-8, if the personal property of a decedent's estate (less liens, encumbrances, and funeral expenses) does not exceed $100,000 (for estates of individuals who die after June 30, 2022), certain persons may claim the property without formal probate administration by executing a sworn statement. For estates exceeding $100,000 or when formal probate is necessary, the personal representative must obtain a court order and submit it along with the title application.
How To Transfer a Car Title in Indiana After a Co-Owner Dies
General Process
The process for transferring vehicle title following a co-owner's death proceeds as follows:
- Obtain a certified or uncertified copy of the death certificate of the deceased co-owner.
- Determine the form of ownership on the current vehicle title by reviewing the certificate of title for survivorship language or transfer on death language.
- If the vehicle is titled with survivorship rights or a transfer on death beneficiary is named, the surviving owner or beneficiary visits a Bureau of Motor Vehicles license branch with the original title, death certificate, and completed Application for Certificate of Title for a Vehicle (State Form 205). The surviving owner or beneficiary must sign the application in the purchaser section.
- If the vehicle is held as tenants in common and the estate does not exceed $100,000 (less liens and funeral expenses), complete an Affidavit for Transfer of Certificate of Title for a Vehicle/Watercraft (State Form 15187) and submit it with the title, death certificate, and proof of estate value to the Bureau of Motor Vehicles.
- If the vehicle is held as tenants in common and the estate exceeds $100,000, or if the decedent died testate, obtain letters testamentary or letters of administration from the probate court authorizing the personal representative to transfer the vehicle. Submit these documents with the current title, death certificate, and Application for Certificate of Title for a Vehicle (State Form 205).
- If a lienholder is shown on the title, ensure the lienholder information is provided to the Bureau of Motor Vehicles with the new title application.
- Pay all applicable title fees, registration fees, and taxes at the time of application.
Applicable Fees
The following table summarizes the primary fees associated with vehicle title transfers following a co-owner's death in Indiana:
| Fee Type | Amount | When It Applies |
|---|---|---|
| Certificate of Title Application | $9.50 | New title application for surviving owner or estate |
| Duplicate or Corrected Title | $9.50 | If original title cannot be located or must be amended |
| Registration Amendment | $9.50 | Updating registration to reflect new owner |
| Vehicle Excise Tax (Passenger Vehicle) | Varies by value and age | Annual tax on vehicle registration; amount determined by class and year |
| County Vehicle Tax | Varies | Additional tax if county has adopted ordinance |
| Municipal Vehicle Tax | Varies | Additional tax if municipality has adopted ordinance |
| Transportation Infrastructure Improvement Fee | Included in registration | Required on all vehicle registrations |
| Hybrid or Electric Vehicle Supplemental Fee | Included in registration | Applies to qualifying vehicles only |
Applicants may use the Quick Quote Tool on the Bureau of Motor Vehicles website to estimate the total cost of registration for a specific vehicle based on value, age, and location.
Surviving Spouse
Indiana law does not provide a separate or accelerated procedure specifically for surviving spouses. A surviving spouse who is listed as a joint tenant with survivorship rights on the vehicle title, or who is designated as a transfer on death beneficiary, follows the same title transfer process as any other surviving co-owner or beneficiary. If the vehicle is held as tenants in common, the surviving spouse must participate in the same estate procedures as any other heir or beneficiary.
Documents Needed to Transfer an Indiana Car Title After Death
Common Documents
The required documents depend on the form of ownership and the estate's value. The following documents are commonly required:
For Joint Tenancy with Survivorship Rights or Transfer on Death Beneficiary:
- Current certificate of title (original).
- Certified or uncertified copy of the death certificate of the deceased owner.
- Application for Certificate of Title for a Vehicle (State Form 205), completed and signed by the surviving owner or beneficiary.
- Proof of Indiana sales or use tax compliance, if applicable.
- Payment for title application fee, registration fees, and taxes.
For Tenancy in Common (Estate Under $100,000 Gross Value):
- Current certificate of title (original).
- Certified or uncertified copy of death certificate.
- Affidavit for Transfer of Certificate of Title for a Vehicle/Watercraft (State Form 15187).
- Documentation showing the estate value does not exceed $100,000 (less liens, encumbrances, and funeral expenses).
- Payment for title application fee, registration fees, and taxes.
For Tenancy in Common (Estate Over $100,000 or Formal Probate):
- Current certificate of title (original).
- Certified copy of death certificate.
- Court-issued letters testamentary, letters of administration, or other probate authority authorizing the personal representative to transfer the vehicle.
- Application for Certificate of Title for a Vehicle (State Form 205), signed by the personal representative.
- Proof of Indiana sales or use tax compliance, if applicable.
- Payment for title application fee, registration fees, and taxes.
What if There Is a Loan on the Car?
If the vehicle has an outstanding loan, the lienholder holds a security interest recorded on the vehicle's title. When applying for a new title following the death of a co-owner, the surviving owner or estate representative must provide the lienholder's name and address to the Bureau of Motor Vehicles.
If the loan has been satisfied, obtain written confirmation from the lienholder stating that the lien has been released. The lien release letter should include the vehicle identification number, the release date, and the signature of the lienholder's authorized agent with title.
If the loan remains outstanding, the surviving owner or estate representative must address the loan with the lienholder. Transfer of the vehicle title does not automatically transfer or eliminate the loan obligation. Depending on the loan terms and whether the surviving owner is a co-borrower, the surviving owner may be required to continue making payments or refinance the loan.
Contact Information
Bureau of Motor Vehicles
Indiana Government Center North, Room 402, 100 North Senate Avenue
Indianapolis, IN 46204
Phone: (888) 692-6841
Official Website: Bureau of Motor Vehicles (https://www.in.gov/bmv/)
