State police said the crash happened shortly before 5 p.m. State police said East Chicago officers were pursuing a Dodge Durango, which drove into Hammond. Hammond police joined the chase east on Gostlin Street.
State police said the Dodge ran a red light and hit the driver's side of a Chevy Equinox in the intersection of Gostlin and Columbia Avenue.
State police said the driver of the Equinox, 57-year-old Theresa Paramo of Whiting, Ind., was taken to North Lake Methodist Hospital in critical condition and then airlifted to Christ Hospital in Oak Lawn. Her granddaughter, 13-year-old Julianna Chambers also of Whiting, was taken to Saint Margaret's Hospital in Hammond, where she died.
The driver of the Durango, Donnell Howard Jr., 31, of Highland, Ind., was taken into custody by East Chicago police. His passenger Jessica Pichon, 27, of Danville, Ill., was taken to North Lake Methodist Hospital with minor injuries.
State and local police have not said what led to the police chase, or what charges may be pending for the crash.