This bill amends Section 31-3.1-37 of the General Laws regarding the transfer of motor vehicle titles upon the death of the owner. It establishes that, on and after September 1, 2025, a motor vehicle may be titled in a transfer-on-death form by including a designation of a beneficiary or beneficiaries in the certificate of title. This allows the vehicle to be transferred directly to the named beneficiaries upon the owner's death, subject to the rights of any lien holder, and bypassing probate.

The bill outlines the process for designating beneficiaries, stating that a motor vehicle is titled in transfer-on-death form by including the owner's name followed by the words "transfer on death to [name of beneficiary or beneficiaries]." If no title is available or does not contain transfer-on-death language, the owner may execute a document transferring the vehicle to a beneficiary during their lifetime. If no such document exists, the surviving spouse or heirs may transfer the title by providing a copy of the owner's death certificate and an affidavit to the Department of Motor Vehicles.

The bill specifies that beneficiaries have no interest in the vehicle until the owner's death, and the designation may be revoked or changed by the owner at any time. Ownership of a vehicle titled in transfer-on-death form will vest in the designated beneficiaries upon the owner's death, and if no beneficiary survives, the interest will belong to the deceased owner's estate.

Additionally, the Department of Motor Vehicles is tasked with prescribing any fees associated with the transfer of title and registration, ensuring that no fee exceeds the annual registration fee for the vehicle. The bill clarifies that a certificate of title in transfer-on-death form is not considered a testamentary disposition and mandates the Department of Motor Vehicles to provide amended title forms to facilitate these provisions.

Statutes affected:
5660: 31-3.1-37