estate planning in AR, what is a living estate

Most likely, a "living estate" is a misunderstanding on your part. The word "living" is frequently applied to estate planning documents like living will and living trust. Some even use it in conjunction with powers of attorney. As your question is extremely short and has no real details, it is not likely you will get the answer for which you are looking.

All estates are formed at the death of an individual, so their really isn't anything as a "living estate",

This may be a living will, which is actually a pull-the-plug document or advance directive, which provides direction to individuals as to the type of care and treatment you'd like to recieve if ill.

Also, Living Trusts are will substitutes which avoid probate.

Good Luck