EXHIBIT 99.2


NEWS RELEASE
For Immediate Release
 

             ATLANTIC AMERICAN CORPORATION TO ACQUIRE SIA, INC.;
         AUTHORIZES THE REPURCHASE OF AN ADDITIONAL 500,000 SHARES OF
                        ATLANTIC AMERICAN COMMON STOCK

ATLANTA, Georgia, October 28, 1997 - Atlantic American Corporation (NASDAQ:AAME)
today announced that its board of directors has approved the acquisition of Self
Insurance  Administrators,  Inc. ("SIA,  Inc."),  an  Atlanta-based  third party
administrator  of  self-insured  companies and public  organizations.  SIA, Inc.
specializes in the administration of these organizations'  workers' compensation
coverages,  primarily  in the state of  Georgia.  Atlantic  American  will issue
approximately  $1.2  million in its common  stock in exchange for 100 percent of
the common stock of SIA, Inc., which, in 1996 generated  approximately  $600,000
in service fee revenue and approximately $630,000 in stop-loss reinsurance.  The
acquisition is scheduled to be completed as of October 31, 1997.

Commenting  on the  acquisition,  Hilton H.  Howell,  Jr.,  president  and chief
executive  officer of  Atlantic  American,  stated,  "We are  excited  about the
potential of this transaction.  The acquisition of SIA, Inc. will allow Atlantic
American to expand its  services in the workers'  compensation  arena beyond the
traditional  workers'  compensation  insurance  underwritten  by our subsidiary,
Georgia  Casualty & Surety Company.  We will now have the added ability to offer
our agents and  insureds the  alternative  of setting up  self-insured  workers'
compensation  programs.  We also expect that the acquisition will enable Georgia
Casualty to enter a new insurance market by providing stop-loss  reinsurance for
some of the  self-insured  clients of SIA,  Inc." Howell  continued,  "I am also
particularly pleased that Andy Thompson, the founder and president of SIA, Inc.,
will continue to run the company he has so  successfully  built.  Andy is a true
insurance  professional and we welcome him as a member of the Atlantic  American
team and as a significant shareholder of our company."

Andy Thompson,  president of SIA, Inc., commented,  "All of us here at SIA, Inc.
are  pleased  and  proud to be a  member  of the  Atlantic  American  family  of
companies,  and we are  excited  to be able to offer our  alternative  insurance
programs to a larger base of clients."

In  addition,  the  board of  directors  of  Atlantic  American  authorized  the
acquisition of up to an additional  500,000  shares of the company's  issued and
outstanding  common stock pursuant to a previously  authorized  stock repurchase
program.  The  shares  are to be  repurchased  from  time  to  time  based  upon
prevailing  market  conditions.  The  acquired  shares  will be held as treasury
shares and will be used principally to satisfy Atlantic  American's  obligations
to its various  employee benefit  programs.  On May 2, 1995,  Atlantic  American
initiated  the share buy back  program  with the  authorization  by its board to
acquire  500,000  shares of common stock and  approximately  340,000 shares have
been repurchased under the program to date.

Atlantic  American's news releases are immediately  accessible on the World Wide
Web at http://www.prnewswire.com in the Company News Section. Reports filed with
the Security and Exchange Commission may be found by using "Edgar Search" in the
Company News On-Call Plus Section.

Atlantic  American  is  an  insurance  holding  company  involved  in  specialty
insurance  markets  of  the  life,  health,   property  and  casualty  insurance
industries.  Its principal  subsidiaries  include:  American Southern  Insurance
Company,  American Safety  Insurance  Company,  Bankers  Fidelity Life Insurance
Company and Georgia Casualty & Surety Company.

For further information contact:
      John W. Hancock, Sr. VP and Treasurer         Janice Kuntz
      Edward L. Rand, Jr., VP and Controller         Golin/Harris Communications
      Atlantic American Corporation                  (404) 681-3808
      (404) 266-5500