Who AIM Insures
AIM currently insures Alabama and Tennessee attorneys by providing quality
professional liability insurance for the private practice of law. The focus of
AIM is to insure practicing attorneys ranging from sole practitioners and small
firms up to medium size law firms of approximately 50 members whose primary
offices are located in Alabama or Tennessee.
The commercial insurance market (large, for profit insurance companies)
historically have not been reliable. The Alabama State Bar for many years
endorsed professional liability insurance programs provided by commercial
insurers. These programs often proved unsatisfactory and none were permanent.
The practicing bar faced the recurring problems of instability in premium rates,
unsatisfactory underwriting and claims services, as well as shortcomings in
policy coverage. In May 1986 the bar's commercial malpractice insurance program
abruptly found itself unable to continue providing the coverage endorsed. Many
attorneys were unable to renew their policies and were left without coverage
AIM is Formed with Bar Support
In response to the recurring problems with
lawyers' malpractice insurance provided by large, for profit insurers,
the Alabama State Bar's Insurance Programs Committee undertook a study beginning
in 1986 to determine the feasibility of forming a "captive" insurance company
dedicated solely to serving the needs of Alabama attorneys. Thereafter, AIM was
incorporated on May 19, 1988. Initially 1,665 Alabama attorneys purchased
"units" (more commonly referred to as debentures) to capitalize and start AIM. It commenced operation and issued its
policy on July 1, 1989. The sale of "units" was suspended on May 15, 2000. By
that time, AIM had acquired a strong capital base through the support of 3,099
members of the bar who purchased "units."
In 2010, AIM's Board of Directors saw the importance of providing AIM with the corporate and legal basis to continue to be successful in the years ahead. It unanimously recommended to the membership of AIM that the company be redomesticated to the District of Columbia to become a mutual risk retention group in order to take advantage of the federal Risk Retention Act of 1986. Members participating in a special meeting on June 28, 2010, approved the recommendation by an overwhelming 90% majority. AIM successfully redomesticated to the District of Columbia on August 11, 2010, becoming a mutual risk retention group.
AIM became qualified to write legal malpractice insurance in Tennessee in
What is AIM?
AIM is an independent District of Columbia corporation and mutual risk retention group providing attorneys with legal malpractice insurance. Presently, only Alabama and Tennessee attorneys are eligible insureds. As a mutual risk retention group, AIM is owned by its member
insureds. As such, it does not operate to make profit for shareholders but
exists solely for the benefit of its insureds. AIM's Board of Directors is comprised entirely of attorneys who are committed to the concept of providing the best service to attorneys needing malpractice insurance. It operates responsibly and offers insureds a personal touch in their malpractice insurance needs. AIM has become known for its sympathetic handling of insured's claims and providing a vigorous defense against unmeritorious claims. It operates out of its corporate office located in the greater Birmingham, Alabama, area. It is a direct writer of insurance. AIM uses no agents in order to reduce costs and insure the highest quality of service to its
AIM's Mission: Service, Not Profit!
AIM is dedicated to providing a continuous source of malpractice insurance
for attorneys in the states of Alabama and Tennessee. It is committed to maintaining the highest quality of
service to its insureds. It provides malpractice insurance at reasonable rates
so as to avoid year-to-year price swings. AIM provides timely application
processing, prompt claims handling and even free malpractice seminars with CLE
credit for its insureds!