If the result of the lower premium is that the insurance agent is refunding part of the premium collected at closing, the answer is yes.
If the refund was made via the settlement agent back to you as the lender, you will negotiate that check and issue a cashier's check for the refund amount, and tweak the applicable entry, subtotal, totals and the Calculating Cash to Close numbers to issue a revised Closing Disclosure (CloD), making sure that the only date on the top of page 1 of the disclosure that changes is the "Date Issued," which should be the date you complete the new CloD. Tuck the check and the CloD in an envelope with a letter explaining what happened.
John S. Burnett
Fighting for Compliance since 1976
Bankers' Threads User #8