HF2072 Summary

• Allows natural persons to title watercraft and motor vehicles in "transfer-on-death" (TOD) form by designating beneficiaries who automatically receive ownership upon the owner's death, subject to secured party rights.

• Beneficiaries have no interest in the property until the owner's death and designations can be changed at any time without beneficiary consent; if married, motor vehicle TOD beneficiary designations other than the spouse require spousal consent.

• Exempts transfer-on-death transfers of motor vehicles from motor vehicle sales tax by amending the definition of "sale" to exclude acquisitions by transfer-on-death title from a decedent.

• Expands the definition of "estate" for purposes of state and county medical assistance recovery claims to include assets conveyed through transfer-on-death of title, joint tenancy, living trusts, and other arrangements.

• State and county agency claims for medical assistance continue to apply against TOD beneficiaries if other estate assets are insufficient to pay the claim, and the claim persists until the beneficiary sells or transfers the property to someone without notice or knowledge of the claim.