AISI-1045 steel is a medium-carbon, medium-strength steel that usually requires surface engineering to be usable in industrial applications. Using the cathodic cage plasma deposition technique, transition metal (Nb, V, W) nitride coating is deposited on this steel using cathodic cage lids of these metals. The hardness of untreated steel (1.8 GPa) is upgraded to 11.2, 12.2, and 9.7 GPa for niobium nitride, vanadium nitride, and tungsten nitride coating, respectively. The elastic modulus, the ratio of hardness-elastic modulus (H/E, H2/E, and H3/E2), and the plasticity factor depict the improvement in mechanical and elastic properties. The sample treated with a niobium cage lid exhibits the Nb4N5 phase, the vanadium cage lid shows the VN phase (along with the Fe4N phase), and the tungsten cage lid consists of W2N3, WFeN2, and Fe4N phases. Among these coatings, the thickness of niobium nitride coating is maximum (1.87 μm), and a low deposition rate is obtained for tungsten nitride coating (0.83 μm). In addition to this coating, a nitrogen diffusion zone (∼60 μm) is also formed beneath the coating, which creates a hardness gradient between the coating and the substrate. The ball-on-disc wear tester shows that niobium nitride coating deposition reduces the wear rate from 19.5 × 10−3 to 8.8 × 10−3 mm3/N m and exhibits excellent wear performance.