Legal Definitions - nonprobate asset

A nonprobate asset is an item that is owned and has value, but does not go through the probate process after the owner's death. This means that it does not have to be distributed through a will or trust. Examples of nonprobate assets include:

• Jointly owned property
• Life insurance policies with a named beneficiary
• Retirement accounts with a named beneficiary
• Payable-on-death bank accounts

These examples illustrate that nonprobate assets are those that have a designated beneficiary or joint owner, and therefore do not need to go through the probate process to be distributed.