Arizona Probate Bonds,
Handled Simply.

Probate in Arizona is handled by the Superior Court in each of the state's 15 counties. The Superior Court has jurisdiction over the administration of estates, the appointment of personal representatives, guardianships, and conservatorships. Most Arizona estates use the informal probate process handled by the court registrar.

Arizona follows the Uniform Probate Code in Title 14 of the Arizona Revised Statutes. The estate fiduciary is called the personal representative, known as an executor when named in a will and an administrator when appointed by the court without a will. The bond requirement is set by Section 14-3603, and the amount is governed by Section 14-3604.

Arizona imposes no state estate tax and no inheritance tax, so most estates face only the federal estate tax, which reaches only very large estates.

When a bond is required, Arizona Revised Statutes Section 14-3604 sets how the amount is fixed:

• Will or court order controls: If the will or a court order states the bond amount, that amount applies.
• Statement of value: If the amount is not specified, the personal representative files a sworn statement estimating the value of the personal estate, the real estate less encumbrances, and the income expected from both during the next year, then files a bond for at least that estimate.
• Reduction for restricted real estate: The bond may be reduced by the value of real estate, less encumbrances, if the Letters restrict the personal representative from selling real property without court confirmation.
• Court adjustments: Under Section 14-3604(A), on petition of the personal representative or another interested person, the court may excuse the bond, increase or reduce it, release sureties, or allow a substitute bond.

Under Arizona Revised Statutes Section 14-3603, a bond is required of a personal representative unless one of these applies:

• The will waives the bond: If the will expressly waives the bond, none is required. Most Arizona wills prepared by an attorney waive the bond.
• All heirs or devisees waive: If all of the heirs, when there is no will, or all of the devisees, when the will does not address bond, file a written waiver with the court, no bond is required.
• A qualified financial institution serves: A bank or trust company qualified to act as a fiduciary is not required to post a bond.
• Court discretion to require a bond anyway: Even when the bond is waived, Section 14-3603(B) lets the court require one if an interested person petitions and shows that their interest is in danger of being lost. An heir or devisee who first waived the bond may still ask for one later.
• Summary procedure exception: Under Section 14-3603(C), if a bond was skipped because the estate looked small enough for summary procedures under Section 14-3973, but the inventory shows it is larger, the personal representative must promptly file a bond.

Filing an Arizona probate bond, when one is required, follows Title 14 and the Arizona Rules of Probate Procedure:

• Filed before Letters issue: The bond must be filed and approved by the registrar before the court issues Letters and the personal representative takes control of estate assets.
• Sworn statement of value: When the amount is not set by the will, the personal representative files a sworn estimate of the estate's value and income, then files a bond for at least that amount under Section 14-3604.
• Corporate or secured sureties: The registrar confirms the bond is executed by a corporate surety, or by individual sureties whose performance is secured by a pledge of property.
• Restricted Letters: If the bond is reduced because real property cannot be sold without court confirmation, the Letters issued to the personal representative carry that restriction.
• Bond stays in force: The bond remains in effect until the estate is closed and the court discharges the personal representative.
• Release of sureties: A surety that wants to be released from future liability may apply to the court, which can require the personal representative to give new security.

When an Arizona probate bond is required, the cost is a premium paid to the surety company. The premium is a small percentage of the bond amount and depends on the size of the bond and the applicant's credit.

• Typical rate range: Most Arizona probate bonds are priced at roughly 0.5% to 1% of the bond amount per year for well-qualified applicants. A $100,000 bond commonly costs between $500 and $1,000 per year.
• Minimum premium: Many sureties apply a minimum premium of about $100 to $150 for small bonds.
• Credit impact: Applicants with strong credit qualify for the lowest rates. Applicants with weaker credit may pay a higher rate or be asked for collateral.
• Reduced bonds: Because the bond can be reduced when real property is restricted from sale without court approval, the premium often reflects only the liquid personal property rather than the entire estate.
• Annual renewal: Arizona estates can stay open across more than one year, so the premium is charged annually until the court discharges the personal representative.
• Premium as an estate expense: Arizona courts generally allow the bond premium to be paid from estate assets as a cost of administration.

Beyond the standard personal representative bond, Arizona probate practice uses several additional bond types:

• Conservator Bond: Under Arizona Revised Statutes Section 14-5410, a conservator appointed to manage the estate of a minor or a protected person must generally post a bond tied to the value of the estate under the conservator's control.
• Guardian Bond: A guardian responsible for the property of a minor or an incapacitated person may be required to post a bond on the same principles that apply to a conservator.
• Special Administrator Bond: When the court needs someone to protect estate assets before a personal representative is appointed, it may name a special administrator, who can be required to post a bond for that temporary role.
• Public Fiduciary: Each Arizona county has a Public Fiduciary who serves as personal representative, guardian, or conservator when no one else is available, subject to the same bonding and accounting oversight.
• VA Fiduciary Bond: A fiduciary appointed to manage benefits for a veteran answers to both the Arizona court and the federal Department of Veterans Affairs, and the bond may reflect both the estate and the benefits under management.

Arizona stands out for regulating private fiduciaries directly. A person who serves as a personal representative, guardian, or conservator for unrelated people for a fee must be a licensed fiduciary certified by the Arizona Supreme Court through the Administrative Office of the Courts fiduciary program.

• Certification required: A private professional fiduciary must apply for and hold a fiduciary license from the Arizona Supreme Court before serving for compensation for unrelated parties.
• Education and examination: Applicants must complete required training and pass an examination on Arizona fiduciary law and duties.
• Background screening: Licensure requires a criminal background check and a review of the applicant's financial responsibility.
• Bond when required: A licensed fiduciary is subject to the same bond rules as any other fiduciary. A bond is required unless the will or all interested persons waive it, and the court can require one to protect the estate.
• Corporate fiduciaries: Banks and trust companies qualified to act as fiduciaries are exempt from the personal representative bond, although the court may still require a bond in a guardianship or conservatorship.
• Accountings: Conservators and guardians must file inventories and annual accountings with the Superior Court, and any required bond stays in force while those duties continue.

• Apache, Superior Court, Probate Division (St. Johns)
• Cochise, Superior Court, Probate Division (Bisbee)
• Coconino, Superior Court, Probate Division (Flagstaff)
• Gila, Superior Court, Probate Division (Globe)
• Graham, Superior Court, Probate Division (Safford)
• Greenlee, Superior Court, Probate Division (Clifton)
• La Paz, Superior Court, Probate Division (Parker)
• Maricopa, Superior Court, Probate Division (Phoenix)
• Mohave, Superior Court, Probate Division (Kingman)
• Navajo, Superior Court, Probate Division (Holbrook)
• Pima, Superior Court, Probate Division (Tucson)
• Pinal, Superior Court, Probate Division (Florence)
• Santa Cruz, Superior Court, Probate Division (Nogales)
• Yavapai, Superior Court, Probate Division (Prescott)
• Yuma, Superior Court, Probate Division (Yuma)