[quote=Balance]
I'm well = I am well. Well is an adverb in most contexts, and therefore (in those contexts) you can only apply it to action verbs, not linking verbs. "Am" is a linking verb. However, "I'm doing well" is perfectly fine.
[/quote]

"I am well" still applies because "well" is also defined as "lacking misfortune." Because things were generally positive, she was well. Not physically or mentally ill. At peace, to an extent.