Item 3.01. Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing.

(a)

On November 11, 2009, Triad Guaranty Inc. (the "Company") received a letter from The NASDAQ Stock Market ("NASDAQ") stating that as of November 10, 2009, the Company was no longer in compliance with NASDAQ Listing Rule 5450(b)(3)(C), which requires the Company to maintain a minimum market value of $15 million of its total outstanding shares of common stock (excluding shares held directly or indirectly by officers, directors or any beneficial owner of more than 10% of the Company's total outstanding shares) (the "Minimum Market Value"). The NASDAQ letter confirmed (i) the Company's noncompliance with Listing Rule 5450(b)(3)(C) for the 30 consecutive business day period from September 30, 2009 to November 10, 2009, and (ii) the availability of a 90 calendar day period to "cure" such noncompliance. If the Company's Minimum Market Value closes at $15 million or more for a minimum of ten consecutive business days during the cure period, which expires on February 9, 2010, the Company will be deemed to have regained compliance with Listing Rule 5450(b)(3)(C). The Company intends to actively monitor the Minimum Market Value for its common stock and will consider available options to resolve the deficiency and attempt to regain compliance with Listing Rule 5450(b)(3)(C), or pursue other alternatives.

A copy of the press release announcing the receipt of the letter from NASDAQ, dated November 16, 2009, is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

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Item 9.01. Financial Statements and Exhibits.

(d)

Exhibit Number Description Exhibit 99.1 Press release dated November 16, 2009, disclosing the Company's receipt of a listing standard deficiency letter from NASDAQ.

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