8-K

                                    FORM 8-K

                                 CURRENT REPORT
     Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934




Date of Report (Date of earliest event reported)       August 13, 2007
                                                --------------------------------

                                Tower Group, Inc.
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             (Exact name of registrant as specified in its charter)


           Delaware                    000-50990                 13-3894120
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(State or other jurisdiction    Commission File Number:        (IRS Employer
     or incorporation)                                       Identification No.)


   120 Broadway, 31st Floor, New York, NY                        10271
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  (Address of principal executive offices)                     (Zip Code)


Registrant's telephone number, including area code        (212) 655-2000
                                                  ------------------------------

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         (Former name or former address, if changed since last report.)




Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
    230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
    240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
    Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
    Act (17 CFR 240.133-4(c))





Item 8.01 Other Events
          ------------

     The Company  announced  today that its Board of  Directors  has declared an
increase in the regular  dividend  for its common  stock to $0.05 per share from
$0.025 per share  payable  September  27, 2007 to  stockholders  of record as of
September  14, 2007. A copy of the press  release is included as exhibit 99.1 to
this report.


Item 9.01 - Financial Statements and Exhibits

The following exhibit is filed as part of this report.


Number                          Description
- -------------------------------------------

99.1 Copy of press release issued by Tower Group, Inc. dated August 13, 2007.




                                   SIGNATURES


     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.




                                                     Tower Group, Inc.
                                        ----------------------------------------
                                                       (Registrant)

Date  August 13, 2007
    -------------------
                                         /s/ Francis M. Colalucci
                                         ---------------------------------------
                                                       (Signature)*
                                         Francis M. Colalucci
                                         Senior Vice President, Chief Financial
                                         Officer and Treasurer


*Print name and title of the signing officer under his signature.

EX-99.1

                                                          Exhibit 99.1

                Tower Group, Inc. Doubles Cash Dividend

     Declares Dividend of $0.05 Per Share for the Third Quarter of
         2007; Up $0.025 Per Share From Previous Announcement

    NEW YORK--(BUSINESS WIRE)--Aug. 13, 2007--Tower Group, Inc.
(NASDAQ: TWGP) announced today that the Company's Board of Directors
has declared an increase in the regular quarterly dividend for its
common stock to $0.05 from $0.025 per share. The $0.05 dividend will
be payable September 27, 2007 to stockholders of record as of
September 14, 2007. Subject to Board of Directors approval for future
dividends, this represents an annualized increase to $0.20 per share.

    Michael H. Lee, President and Chief Executive Officer of Tower
Group, Inc. stated, "We are absolutely committed to increasing
shareholder value over the long term, and this increase in the
Company's dividend represents our continued confidence in our business
and growth prospects. Tower Group's record levels of profits and
strong operating cash flows have enabled us to increase our
dividends."

    About Tower Group, Inc.

    Tower Group, Inc. offers property and casualty insurance products
and services through its operating subsidiaries. Its insurance company
subsidiaries offer insurance products to individuals and small to
medium-sized businesses. Tower Group's insurance services subsidiaries
provide underwriting, claims and reinsurance brokerage services to
other insurance companies.

    Cautionary Note Regarding Forward-Looking Statements

    The Private Securities Litigation Reform Act of 1995 provides a
"safe harbor" for forward-looking statements. This release or any
other written or oral statements made by or on behalf of the Company
may include forward-looking statements that reflect the Company's
current views with respect to future events and financial performance.
All statements other than statements of historical fact included in
this release are forward-looking statements. Forward-looking
statements can generally be identified by the use of forward-looking
terminology such as "may," "will," "plan," "expect," "project",
"intend," "estimate," "anticipate," "believe" or "continue" or their
negative or variations or similar terminology. All forward-looking
statements address matters that involve risks and uncertainties.
Accordingly, there are or will be important factors that could cause
our actual results to differ materially from those indicated in these
statements. We believe that these factors include but are not limited
to ineffectiveness or obsolescence of our business strategy due to
changes in current or future market conditions; increased competition
on the basis of pricing, capacity, coverage terms or other factors;
greater frequency or severity of claims and loss activity, including
as a result of natural or man-made catastrophic events, than our
underwriting, reserving or investment practices anticipate based on
historical experience or industry data; the effects of acts of
terrorism or war; developments in the world's financial and capital
markets that adversely affect the performance of our investments;
changes in regulations or laws applicable to us, our subsidiaries,
brokers or customers; changes in the level of demand for our insurance
and reinsurance products and services, including new products and
services; changes in the availability, cost or quality of reinsurance
and failure of our reinsurers to pay claims timely or at all; loss of
the services of any of our executive officers or other key personnel;
the effects of mergers, acquisitions and divestitures; changes in
rating agency policies or practices; changes in legal theories of
liability under our insurance policies; changes in accounting policies
or practices; and changes in general economic conditions, including
inflation and other factors. Forward-looking statements speak only as
of the date on which they are made, and the Company undertakes no
obligation to update publicly or revise any forward-looking statement,
whether as a result of new information, future developments or
otherwise.

    For more information visit Tower's website at
http://www.twrgrp.com/.


    CONTACT: Tower Group, Inc.
             Thomas Song, 212-655-4789
             Managing Vice President
             tsong@twrgrp.com