"I've come here every season and I can't believe I've won it now," said Meusburger, who reached at least the quarterfinals every year since the event was first held in 2007.
Meusburger didn't drop a set in the tournament, where she has reached at least the quarterfinals every year since it was first held in 2007.
The 86th-ranked Meusburger became the ninth Austrian winner of a WTA event and the first since Tamira Paszek in Birmingham, England, in June last year. Meusburger was expected to move up almost 30 places and improve on her career best 60th when the rankings are updated on Monday.
Hlavackova had never been beyond the quarterfinals of a WTA event before and had not won back-to-back matches this year.
Ranked 108th, Hlavackova specializes in doubles. Teaming up with fellow Czech player Lucie Hradecka, she won the French Open in 2011 and finished runner-up at Wimbledon, the London Olympics and the U.S. Open last year.
"It was a very tough match to win," Hlavackova said. "Yvonne had two great weeks in a row so she was playing well. But I had a great week as well here and I don't really want to go home now."
Hlavackova was the more attacking player but struggled with her opponent's high topspin balls from the baseline.
Meusburger conceded a 4-2 lead but broke Hlavackova again for 6-5 and wrapped up the opening set with an ace.
The Austrian avoided break points in the second set and broke Hlavackova's serve twice to go 5-2 up. Meusburger clinched the title with a volley winner on her second match point.
Earlier Sunday, Austrian doubles player Sandra Klemenschits also won her first WTA title, five years after battling abdominal cancer, the same illness her twin sister and former doubles partner Daniela died of in April 2008.