Breakdown recovery and insurance business AA has insisted it is merely ‘keeping its options open’ by applying for an alternative business structure licence.

The company today confirmed it has applied to the Solicitors Regulation Authority with a view to providing legal services in the future. It is expected AA would look to focus on the personal injury market if and when it does offer legal services. It already provides legal documents to members and has a small panel of national law firms for advice on PI claims.

‘This is all about keeping our options open and giving us the flexibility to progress,’ said a spokesman.

‘The AA is seriously interested in pursuing this route. There are exciting options and ABSs present an excellent opportunity for the AA to develop its offering.’

The company, which has more than 15 million customers in its breakdown cover and insurance business, is the second major brand this week to confirm an ABS application.

Saga Legal Solutions yesterday announced it would seek to offer legal services through wills, probate and conveyancing. Saga and AA are both owned by private equity-backed holding company Acromas.