After the Hungarian monarchy was abolished, on 14 September, 1946, the National Assembly of Hungary disestablished the order and replaced it by the Order of Merit of the Republic of Hungary (Hungarian: Magyar Köztársasági Érdemrend).

After the collapse of the communist regime in Hungary, the order was re-established as the second-highest distinction of the country.

From on 1939 to 1944 the highest degree of the order, the Grand Cross with the Holy Crown of Stephen (Istvan), was awarded to both chiefs of state (i.e. monarchs of presidents) or heads of government (i.e. prime ministers and chancellors).

In addition, the class of the Holy Crown and the Collar was instituted which was awarded exclusively to chiefs of state.

After the Communist take over of Hungary and the promulgation of the new Hungarian constitution on August 20, 1949, the new order was disestablished.