35 years on since the single was first released, it has been recognised after artist Luke Combs released a cover version this year which reached number two in the US and number 30 in the UK this summer.
The award marks Chapman as the first Black songwriter to win Song of the Year in the award’s 57-year history.
As reported by BBC, the singer said the award was “truly an honour”.
Combs also said according to BBC: “First and foremost, I want to thank Tracy Chapman for writing one of the best songs of all time,” he said.
“I just recorded it because I loved the song. It’s the first favourite song that I ever had, at 4 years old.”
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In 1989, Chapman won three Grammy Awards for ‘Fast Car’ including song of the year and her being awarded best Female Pop Vocalist.
Combs’ take on the song is expected to gain a Grammy nomination for Record Of The Year.
Listen to Tracy Chapman’s ‘Fast Car’ below.
Becky Buckle is Mixmag's Multimedia Editor, follow her on Twitter