N.Y. Ins. Law § 4114

§ 4114. Mutual companies; dividends. The board of directors of a\nmutual property/casualty insurance company may from time to time fix and\ndetermine an amount to be declared and paid as a dividend or as a return\nof unused or unabsorbed premiums or premium deposits on policies,\nretaining such sums as they may deem necessary to meet outstanding\npolicy obligations and for the maintenance of reserves and surplus as\nherein provided. The determination, declaration and payment of such\ndividend shall be subject to section one thousand two hundred eleven of\nthis chapter. In declaring any dividend to policyholders, the board of\ndirectors may make reasonable classifications of policies. Every such\nclassification shall be filed with the superintendent and shall not\nbecome effective unless approved by the superintendent as fair,\nequitable, not impracticable in operation and not unfairly\ndiscriminatory. Any such classification approved by the superintendent\nshall remain in effect until disapproved by the superintendent or until\nwithdrawn with the superintendent's approval by the company filing the\nsame. The requirements as to filing and approval, as applied to any\nforeign or alien mutual property/casualty insurance company, shall apply\nonly to risks located or resident in this state.\n