Corporate Profile for PAULA Financial, dated Feb. 9, 2000

Business Wire, Feb 9, 2000

     Business Editors

    PASADENA, Calif.--(BUSINESS WIRE)--Feb. 9, 2000--The following
Corporate Profile is available for inclusion in your files. News
releases for this client are distributed by Business Wire and also
become part of the leading databases and online services, including
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Published Date:   Feb. 9, 2000

Company Name:    PAULA Financial
Address:         300 N. Lake Avenue, Suite 300
City:            Pasadena
State/Province:  Calif.
ZIP/Postal Code: 91101

Main Telephone Number: 626/304-0401

Chief Executive Officer: Jeffrey A. Snider

Chief Financial Officer: James A. Nicholson

Investor Relations Contact: Deborah S. Maddocks
IR Telephone Number:        626/405-2443
IR E-mail:                  debbiemaddocks@paula.com

Public Company: yes

Exchange and symbol: PFCO
*T

    Company Description: PAULA Financial is a California-based
specialty underwriter and distributor of commercial insurance products
which, through its subsidiary, PAULA Insurance Company, is one of the
largest underwriters specializing in workers' compensation insurance
products and services for the agribusiness industry.
    Total revenues in 1998 were $144.1 million compared to
$103.1 million in 1997.
    Net loss in 1998 was $4.9 million compared to net income of
$5.2 million in 1997. The 1998 net loss was primarily attribuatable to
actions taken by the Company to increase loss reserves on the 1997 and
1998 accident years by a total of $14.8 million in the second quarter
of 1998.
    In 1998, the stock traded at a high of $25.625 and a low of
$6.75.

     --30--ECQ/la* TJJ/la

     CONTACT:  PAULA Financial, Pasadena

     KEYWORD:  CALIFORNIA
     INDUSTRY KEYWORD: INSURANCE
     PROFILE: YES