The legendary Austrian, one of the best-known figures in motor racing, took the title for Ferrari in 1975 and 1977 and McLaren in 1984, ONAreports citing BBC.
For many, he will be remembered for his remarkable recovery and return to racing after being badly burned in a crash in the 1976 German Grand Prix.
Lauda, who underwent a lung transplant in August, "passed away peacefully" on Monday, his family said.
After his career as a racing driver, he became an airline entrepreneur and, most recently, a non-executive chairman for the Formula 1 Mercedes team, instrumental in bringing in British driver Lewis Hamilton, who has won five world championships.
"His unique achievements as an athlete and entrepreneur are and will remain unforgettable, his tireless zest for action, his straightforwardness and his courage remain a role model and a benchmark for all of us," his family's statement said.