8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

_____________________________

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) July 30, 2009:

BALDWIN & LYONS, INC.

___________________________________________________________________________

(Exact name of registrant as specified in its charter)

Indiana	0-5534	35-0160330
(State of other jurisdiction of incorporation or organization)	(Commission File Number)	(IRS Employer Identification No.)

1099 North Meridian Street, Indianapolis, Indiana	46204
(Address of principle executive offices)	(Zip Code)

Registrant’s telephone number, including area code:                                                    (317) 636-9800

                                                                                       _______________________________________________

Not applicable

__________________________________________________________________________________________

 (Former name of 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 CRF 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 240.13e-

      4(c))

Item 7.01  Regulation FD Disclosure

The following information, including the Exhibit to this Form 8-K, is being furnished pursuant to Item 2.02 - Results of Operations and Financial Condition of Form 8-K and is being presented under Item 7.01 of Form 8-K. This information is not deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 and is not incorporated by reference into any Securities Act registration statements.

On July 30, 2009, Baldwin & Lyons, Inc. (Baldwin) issued a press release announcing the results of its operations for the second quarter ended June 30, 2009. A copy of the press release is attached as Exhibit 99.1 to this Form 8-K and incorporated by reference to this Item 9.01 as if fully set forth herein.

Throughout its press release and in the conference call to discuss the results of its operations for the second quarter 2009, Baldwin presents and will present its results and operations in the manner it believes will be the most meaningful, which includes some measures that are not based on accounting principles generally accepted in the United States (GAAP).

Baldwin management uses the term operating revenue, a non-GAAP financial measure, which is defined as revenue excluding pre-tax investment gains and losses. It also uses the term operating income which is defined as net income excluding after tax investment gains and losses. These financial measures are used to evaluate the Company’s performance because the recognition of investment gains and losses in any given period is largely discretionary as to timing and could distort the analysis of trends. Baldwin believes that the defined terms are used commonly in the property/casualty insurance industry and that equity analysts and the Company’s significant shareholders exclude gains and losses on investments in their analysis of Baldwin’s results for the same reason.

The combined ratios and the components thereof, as presented herein, are commonly used in the property/casualty insurance industry and are applied to the Company’s GAAP underwriting results.

A copy of this press release is also posted on the Company’s website.

Item 9.01  Financial Statements and Exhibits

(c) Exhibits.

99.1  Baldwin & Lyons, Inc. press release dated July 30, 2009.

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.

BALDWIN & LYONS, INC.

July 30, 2009                                                                   By: 

/s/ Gary W. Miller

Gary W. Miller, Chairman

and Chief Executive Officer

EX-99.1

Baldwin & Lyons, Inc.

Protective Insurance Company

Sagamore Insurance Company

B & L Insurance, Ltd. (Bermuda)

1099 North Meridian Street

Indianapolis, IN 46204

(317) 636-9800

Subj:           Baldwin & Lyons, Inc	July 30, 2009
Unaudited Second Quarter Financial Statements	Press Contact:  G. Patrick Corydon
	(317) 636-9800
	corydon@baldwinandlyons.com

BALDWIN & LYONS ANNOUNCES RESULTS FOR QUARTER AND SIX MONTHS

Indianapolis, Indiana, July 30, 2009—Baldwin & Lyons, Inc. (NASDAQ: BWINA, BWINB) today announced net income for the quarter of $14.1 million or $.96 per share.  The second best quarter in the company’s history for net income, this compares to $.41 per share in net income for the year earlier period and $.37 per share for the first quarter of 2009.  Operating income, defined as net income before investment gains and losses, was $6 million for the quarter or $.41 per share as compared to $.54 per share for the second quarter of 2008.  Investment gains, aided by recovering equity markets during the quarter, added $.55 per share to this quarter’s net income and compares to investment losses of $.13 per share in the second quarter of 2008 and $.05 per share in the first quarter of this year.

For the first six months of 2009, net income of $19.6 million or $1.33 per share, compares to $1.7 million or $.11 per share, in the 2008 period. Operating income for the comparable periods was almost identical, with $.83 per share in 2009 compared to $.82 per share in 2008, with the improvement in net income attributable to the significantly more favorable investment results during the current year.

Premiums written by the Company’s insurance subsidiaries for the current quarter remained flat overall when compared to the prior year and increased 3% for the six months, reflecting higher premiums from property reinsurance, private passenger automobile and new products which have offset premium declines from the Company’s fleet transportation business which continues to experience highly competitive market conditions combined with the economic downturn which has reduced revenues and miles driven by our insureds.

Net premium earned decreased by 12% to $41.0 million for the second quarter of 2009.  For the six months, earned premium decreased by 7.0% to $85.2 million.  The changes in net premium earned, compared to premium written, reflect the increased utilization of reinsurance on certain products.

The company’s quarterly consolidated combined ratio was 89.6%, producing an underwriting gain of $4.2 million, compared to last year’s underwriting gain of $6.5 million on a quarterly consolidated combined ratio of 86.2%.  For the six months, the consolidated combined ratio was 89.3%,

producing underwriting profits of $9.1 million, compared to last year’s combined ratio of 92.2% and underwriting profits of $7.1 million.

Pre-tax investment income decreased 17% for the current year second quarter, while net investment income, after tax, decreased 16%.  For the six months, pre-tax and after tax investment income were down 20% and 18%, respectively.  The 2009 periods reflect dramatically lower available interest rates, particularly for short-term investments, and lower average invested assets.

Shareholders’ equity increased $20.2 million in the second quarter, including a $9.2 million increase in unrealized gains as the financial markets began to make a recovery.  Book value increased $1.37 per share as a result of the higher earnings and changes in unrealized gains.  For the six months, shareholders’ equity increased $15.8 million or $1.15 per share and book value at June 30, 2009 was $23.47 per share.

Conference Call Information:

Baldwin & Lyons, Inc. has scheduled a conference call for Thursday, July 30, 2009 at 11:00 AM ET (New York time) to discuss results for the second quarter ended June 30, 2009.

To participate via teleconference, investors may dial 888-215-6918 (U.S./Canada) or 913-312-1301 (International or local) at least five minutes prior to the beginning of the call.  A replay of the call will be available through August 6, 2009 by calling 888-203-1112 or 719-457-0820 and referencing passcode 4704906.

The conference call will also be webcast.  Interested parties may access the webcast through a link on the top of the Corporate Profile page on the investor relations section of our web site at www.baldwinandlyons.com.   To participate in the webcast, please register at least fifteen minutes prior to the start of the call.  The webcast will be archived on this site until July 30, 2010.

Also available on the investor relations section of our web site are complete interim financial statements and copies of our filings with the Securities and Exchange Commission.

Financial Highlights (unaudited)
Baldwin & Lyons, Inc. and Subsidiaries
(In thousands, except per share data)	Three Months Ended						Six Months Ended
	June 30						June 30
	2009			2008			2009			2008
Operating revenue	$	46,076		$	52,210		$	95,068		$	102,798
Net investment gains (losses)		12,494			(2,960	)		11,262			(16,535	)
Total revenue	$	58,570		$	49,250		$	106,330		$	86,263
Operating income	$	6,004		$	8,231		$	12,246		$	12,447
Net investment gains (losses),
net of federal income taxes		8,121			(1,924	)		7,320			(10,748	)
Net income	$	14,125		$	6,307		$	19,566		$	1,699
Per share data - diluted:
Average number of shares		14,733			15,189			14,750			15,215
Operating income	$	.41		$	.54		$	.83		$	.82
Net investment gains (losses)		.55			(.13	)		.50			(.71	)
Net income	$	.96		$	.41		$	1.33		$	.11
Dividends paid to shareholders	$	.25		$	.25		$	.50		$	.50
Annualized return on average
shareholders' equity:
Operating income		7.6	%		9.8	%		7.7	%		7.4	%
Net income		17.8	%		7.5	%		12.4	%		1.0	%
Consolidated combined ratio of
insurance subsidiaries (GAAP basis):
Without fee income		89.6	%		86.2	%		89.3	%		92.2	%
Including fee income		88.2	%		84.9	%		87.9	%		90.7	%

Forward-looking statements in this report are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  Investors are cautioned that such forward-looking statements involve inherent risks and uncertainties.  Readers are encouraged to review the Company's annual report for its full statement regarding forward-looking information.