N.Y. Comp. Codes R. & Regs. tit. 11, § 185.9
(a) An insurer issuing group credit life and group credit accident and health insurance policies may pay commissions on said business only to the insurance agent or broker who solicits the master group policy and/or is designated the agent or broker of record. The general agent or agent or broker of record may not be:
(3) the creditor or vendor member of a trust or agency or any of its employees, officers or directors.
The aforesaid general agent or agent or broker of record may share commissions only with another agent or broker who aids in the solicitation of the master policy but in no event, either directly or indirectly, with any of the above enumerated parties.
(f) Fees for service or administration may be payable to a policyholder or creditor to the extent the policyholder or creditor performs such service on behalf of the insurer, and must be set forth in the group policy. Fees for service or administration may not exceed the amounts set forth in the following paragraphs of this subdivision.
(1) For credit life insurance where there are identifiable charges for periods of insurance in excess of 12 months, the following amounts are the maximum per month per $1,000 of insured indebtedness: These amounts may be expressed as a percentage of the actual written premium. Any fee paid on a portion of premium that is refunded or credited to the debtor shall be returned to the insurer.
| SERVICE | Single premium not packaged | Single premium packaged |
|---|---|---|
| Enrolling debtor | .051 | .035 |
| Making refunds | .010 | .007 |
| Processing claims | .005 | .005 |
| General administration | .013 | .011 |
| Settling claims | .005 | .005 |
| Electronic records transfer | .010 | .010 |
(2) For credit life insurance not subject to section 185.14 of this Part, where all identifiable charges are for periods of insurance of 12 months or less, the following amounts are the maximum per month per $1,000 of insured indebtedness: These amounts may be expressed as a percentage of the actual written premium.
| SERVICE | Not packaged | Packaged |
|---|---|---|
| Enrolling debtor | .060 | .045 |
| General administration | .035 | .025 |
| Processing claims | .007 | .007 |
| Settling claims | .007 | .007 |
| Electronic records transfer | .010 | .010 |
(3) For credit life insurance subject to section 185.14 of this Part, the following are the maximum percentages of prima facie written premium:
| SERVICE | FEE |
|---|---|
| Enrolling debtor | 5.00% |
| General administration | 3.00% |
| Processing claims | .25% |
| Settling claims | .25% |
| Electronic records transfer | 1.00% |
| Annual distribution of premium charge adjustments | 1.5% |
(4) For credit accident and health insurance on closed-end loans where there is an identifiable charge for a period of insurance in excess of 12 months and the coverage is not packaged, the following are the maximum percentages of prima facie written premium: For credit accident and health insurance that is packaged, fees which are 85 percent of the above table may be paid.
| SERVICE | After 14th day of disability, retroactive to first day of disability | After 14th day of disability | After 30th day of disability, retroactive to first day of disability | After 14th day of disability |
|---|---|---|---|---|
| Enrolling debtor | 6.1% | 7.8% | 6.5% | 9.0% |
| Making refunds | 0.9% | 1.0% | 0.9% | 1.2% |
| Processing claims | 1.4% | 1.8% | 1.6% | 2.1% |
| General administration | 1.2% | 1.5% | 1.3% | 1.6% |
| Settling claims | 3.4% | 3.2% | 3.4% | 3.1% |
| Electronic records transfer | 1.7% | 2.2% | 1.8% | 2.5% |
(5) For credit accident and health insurance, not subject to section 185.14 of this Part, where all identifiable charges are for periods of insurance of 12 months or less and the coverage is not packaged, the following are the maximum percentages of prima facie written premium:
| SERVICE | After 14th day of disability, retroactive to first day of disability | After 14th day of disability | After 30th day of disability, retroactive to first day of disability | After 14th day of disability |
|---|---|---|---|---|
| Enrolling debtor | 5.8% | 6.1% | 5.9% | 7.4% |
| Processing claims | 1.2% | 1.2% | 1.3% | 1.5% |
| General administration | 3.2% | 3.0% | 3.2% | 3.4% |
| Settling claims | 2.8% | 2.2% | 2.7% | 2.3% |
| Electronic records transfer | 1.4% | 1.5% | 1.4% | 1.8% |
For credit accident and health insurance that is packaged, fees which are 85 percent of the above table may be paid.
(6) For credit accident and health insurance subject to section 185.14 of this Part, the following are the maximum percentages of written premium:
| SERVICE | FEE |
|---|---|
| Enrolling debtor | 3.50% |
| General administration | 2.50% |
| Processing claims | .25% |
| Settling claims | .25% |
| Electronic records transfer | 1.00% |
(7) For credit accident and health insurance as described in section 185.4(a)(3)(ii) of this Part, the following are the maximum percentages of prima facie written premium:
| SERVICE | FEE |
|---|---|
| Enrolling debtor | 5.40% |
| General administration | 2.50% |
| Processing claims | 1.10% |
| Settling claims | 1.60% |
| Electronic records transfer | 1.30% |