Incorporated in Victoria in September 1969, AAMI commenced business on 1 January 1970 as a motor vehicle insurer, offering a major independent alternative to government-owned
and motor club-owned insurers. However, it was back in 1934, on 7 January, that the first policy was granted, but not by AAMI as it is known today. The risk was underwritten by
a company called Club Motor Insurance Agency (Club Motor).
Club Motor was established in 1933 as a highly specialised company to provide motor vehicle insurance for members
of the RACV in Victoria, the RACQ in Queensland and the RACT in Tasmania. The Club Motor arrangement continued until 31 December 1969,
when the RACV decided to become an insurer in its own right. The RACQ quickly followed suit so that only the RACT remained in the fold.
But what was the end of a long liaison, was the beginning for AAMI as it is known today. After the split, and to avoid customer confusion, Club Motor's consortium of shareholders, which read like the who's who of the insurance industry, was no longer able to use the Club Motor name, so they decided on the name Australian Associated Motor Insurers Limited, known as AAMI.
In 1978, AAMI branched out into South Australia and then into New South Wales in 1983.
The RACT broke away from AAMI in 1985. However AAMI was able to retain 80% of that business.
In 1989 came AAMI's decision to diversify. After nearly 20 years of operating solely in car
insurance, AAMI launched into the home insurance market. This move was the result of a
detailed analysis of the benefits of applying AAMI's strengths, experience and infrastructure
to other endeavours without diluting its motoring expertise. The year 1989 also saw the deregulation
of the CTP market in New South Wales, with AAMI being granted a licence to operate. In 1993, AAMI entered
the Queensland CTP market.
AAMI's business has continued to grow and develop so that, today, home insurance and CTP insurance are major components, making increasingly important contributions to the company's results.
