Ahilyabai did not belong to a royal lineage, however, her entry into royalty is nothing short of a twist of fate. It was when Malhar Rao Holkar, an acclaimed nobleman in the Malwa territory spotted an eight-year-old Ahilyabai at a temple service feeding the hungry and poor, while on his way to Pune. Immensely moved by the young girl's act of kindness and strength of character, he decided to ask her hand in marriage for his son Khanderao Holkar. Ahilyabai was married to Khanderao Holkar in 1733 at the tender age of 8.

Distress soon befell the young bride when her husband was killed in the battle of Kumbher in 1754, leaving her a widow at only 29. But she was forbidden from committing Sati by her father-in-law, who became her strongest pillar of support at the time.

The kingdom felt a strong vacuum when Malhar Rao passed away, soon followed by her young son. Ahilyabai, however, stood undeterred through all her personal losses, that too in quick succession. She channelled her grief when she decided to take matters into her own hands for the sake of the administration of the kingdom and the lives of her people. After petitioning the Peshwa after her son's untimely death, she ascended the throne and became ruler of Indore on 11 December 1767.