What Beneficiary Form Registration Requires
Not every type of ownership qualifies for this registration. Arizona law limits it to accounts with a survivorship feature.
If you own a security by yourself, you qualify. You also qualify if you co-own it under joint tenancy with right of survivorship or community property with right of survivorship.
Tenancy in common does not qualify. In that setup, each owner holds a separate, divisible share.
Only a person whose registration of a security shows sole ownership by one person or multiple ownership by two or more persons with right of survivorship, rather than as tenants in common, may obtain registration in beneficiary form.
A.R.S. § 14-6302This distinction matters for estate planning. Tenants in common each own a set percentage. Each share passes through that owner's estate at death.
Survivorship ownership works differently. The surviving owner takes over automatically. Beneficiary form adds one more layer. When the last surviving owner dies, the security goes to the named beneficiary without a personal representative.
How Multiple Owners Are Treated
Arizona law treats multiple owners who register in beneficiary form as joint tenants with right of survivorship. They may also hold as community property in survivorship form. They are never treated as tenants in common.
The surviving spouse or co-owner takes full ownership first. The beneficiary designation activates only after all owners have passed.
For married couples, this structure keeps the asset out of probate at both deaths. The transfer on death (TOD) designation works alongside the survivorship feature. Many families use this approach for brokerage accounts and other investment securities.