What Should an Executor Do With a Deceased's Vehicle in Ontario?

A car left behind after a death can feel urgent. It may be parked in a driveway, still insured, and wanted by a family member. As executor, you are responsible for deciding what happens to it in line with the will and the law.

This article explains the main steps for a vehicle in Ontario: keeping it safe, transferring it to a beneficiary, what changes when it was jointly owned, and what to do about plates. Your situation may differ, so a lawyer can confirm the details.

Keep the vehicle safe and insured first

Until the vehicle is transferred or sold, it is part of the estate you are looking after. In practice that means knowing where it is, where the keys are, and whether the insurance is still in place. Speak to the insurer early and explain the death, so that you understand what coverage applies while the vehicle sits unused or is driven by someone else.

If you think an expense is properly part of carrying out the estate, such as insurance or storage, you may pay it from the estate property, or pay it yourself and then recover it from the estate. Keep every receipt, because you may later need to account for what you spent.

Transferring the vehicle to a beneficiary

A vehicle may be transferred to a beneficiary of the estate exempt from retail sales tax, if you provide supporting estate documents. The documents depend on whether there was a will.

When the vehicle is registered to the new owner at ServiceOntario, proof of Ontario vehicle insurance is required. Some transfer steps, such as a safety certificate, depend on the situation, so confirm them with ServiceOntario before you go.

If the vehicle was jointly owned

If a vehicle is jointly registered to legally married spouses and one dies, the survivor can transfer it exempt from retail sales tax with only a death certificate or a certified copy.

In all other joint-ownership cases, including common-law spouses, the surviving owner must provide the estate documents to show they are the legal beneficiary before the vehicle can be transferred exempt from retail sales tax. If you are a surviving common-law partner, expect to need more paperwork than a married spouse would.

Plates, licences and estate value

• Licence plates may be transferred only between spouses, parents and children, using a plate transfer declaration.
• ServiceOntario must be notified to cancel the deceased's driver's licence.
• A driver's licence fee refund is claimed at a ServiceOntario centre with the Application for Refund of Driver's Licence Fee.
• For Estate Administration Tax, vehicles are included in the estate's value whether they are in or outside Ontario.

If the will says nothing about the vehicle, or beneficiaries disagree about who should get it, or you plan to sell it, the right approach depends on the will and the estate's debts. A lawyer can help you confirm that before you act.

What to do next

• Locate the vehicle, keys, ownership and insurance papers.
• Tell the insurer about the death and confirm current coverage.
• Check how the vehicle was registered: sole name or joint.
• Read the will for any gift of the vehicle.
• Gather the documents ServiceOntario will want for the transfer.
• Keep receipts for any vehicle expenses paid.
• Confirm the steps with ServiceOntario or a lawyer before transferring or selling.

Frequently asked questions