AIUA

The Alabama Insurance Underwriting Association (AIUA) is a state-mandated residual market insurance organization that provides wind and storm coverage to property owners in Baldwin and Mobile counties of Alabama who cannot obtain coverage through the voluntary private insurance market. AIUA was voluntarily formed in the early 1970s through cooperation between insurance industry leaders and the Alabama Department of Insurance, and was formally codified by the Alabama legislature in 2008.

Operating as a market of last resort, AIUA fulfills a statutory obligation to ensure that all eligible property owners in coastal Alabama -- a region with significant hurricane and severe wind exposure -- have access to essential property insurance. The association is a non-profit entity governed by its member insurance companies and regulated by the Alabama Department of Insurance.

All property insurers admitted to write in Alabama are required to participate in AIUA, sharing residual market risk in proportion to their voluntary market writings. Premium rates are established by independent actuaries, filed with, and approved by the Alabama Department of Insurance before implementation.