N.Y. Comp. Codes R. & Regs. tit. 11, § 187.7 – Premium refunds.

(a) Each individual policy of credit unemployment insurance on which the premium is paid by the debtor and each group certificate or statement of group insurance for which an identifiable charge is made to the debtor shall provide that, in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of premium or identifiable charge due shall be paid or credited promptly to the debtor. If a creditor requires a debtor to pay the premium or an identifiable charge for credit unemployment insurance and such insurance is declined by the insurer or otherwise does not become effective, the insurer or creditor shall immediately give written notice to such debtor and shall promptly arrange for refund or credit to the debtor of any premium or identifiable charge paid by him for such insurance.
(b) In the case of credit unemployment insurance, a refund of premium or identifiable charge shall be made for any portion of premium or charge covering a period beyond any one of the following:
1. (1) the date on which termination of insurance becomes effective; or
2. (2) in the case of monthly installment, the installment due date nearest the date of termination; or
3. (3) the date based on a procedure allowed by the Banking Law and used for determining any unearned interest on the loan; or
4. (4) the date based on any other procedure filed by the insurer and approved by the Superintendent of Financial Services.
  Termination shall include termination for any reason, including death. In the case of single premiums or advance premiums or single identifiable charges pertaining to insurance reducing in equal monthly amounts, a refund shall be equal to the premium that would be required for the remaining period of coverage assuming all payments were paid as scheduled, commonly known as the “Rule of Anticipation” shall be considered acceptable. An insurer may file for approval any other formula that produces a reasonable result. Each insurer shall file for approval and include in the policy appropriate formulas and/or factors for refund, or reference to such formulas and/or factors as are on file with the Superintendent of Financial Services. No refund or credit need be made if the amount is less than $1.
(c) An insurer shall promptly refund to an individual policyholder and refund or credit to a group policyholder any refund of premium due on termination of insurance prior to the scheduled maturity date of the indebtedness and a group policyholder or creditor shall promptly refund or credit to the debtor any refund due pursuant to this section. Insurers shall be responsible for establishment of procedures by which such refunds or credits are made.