Well, it seems like I started a lively discussion here!
First things first, I want to clarify a few things. My hospital isn't that cruel to not allow dads or SO's that are male to stay overnight if mom is laboring or delivering. DH will be with me in L&D and the recovery regardless of time until our little boy is here. The rule I'm referring to is for the MATERNITY floor where you go after giving birth and recovering, which I should've specified but I think most people understood.
My reasons for being upset we're mostly because I was worried if baby was born at 5pm will they make my DH leave at 9? If something horrible goes wrong, will they still make him leave? Also, my DH himself was very upset about all this as well....he wants to be there for his family and I think he has every right to be there.
That being said I have since spoken to several of my local NYC mommy friends as well as my doctor and they have all assured me that this is pretty common place. At first I thought it was due to the religious affiliation but it isn't. Most NYC hospitals don't have a lot of private rooms available and the double rooms are not huge. I live in a city with 9 million people so I get that hospitals are crowded!
My doctor assured me that God forbid something goes wrong, they won't kick my husband out. Chances are if everything is pretty smooth, I will be telling DH to go home and get some rest while he can. There is also allowed time for bonding regardless of when baby is born ( like if he's born at 1am they aren't making hubby leave!) and most SOs stay very late and come back very early.
So I feel better and I thank all of you for being supportive and it's been so interesting to read everyone's different experiences!

Re: UPDATE hospital rule: only female overnight visitors :\
I originally thought my fiancé would stay overnight with me but he recently informed me of his plans to go home to sleep unless I'm sick or not doing well and need his help. We live about 20 minutes from the hospital and have 2 cats, a guinea pig and fish that need to be taken care of so he plans to sleep at home to be able to feed them. All our family lives 30-40 mins from us.
Have you asked how long you get to stay in the delivery room?
Most hospitals here, let you stay in your delivery room for approximately 12 hours after birth before moving you into a recovery room.
So depending on when you give birth, and how long they'll let you stay, it may be a mute point.
However, this is enough to make me switch hospitals. Private rooms are a must. I am not sharing a room with another mother and infant in recovery.
I HATED being in the hospital 72 hours after my c section. There were nurses to check me, nurses to check on DD and nurses to check on other things. They came in every 20 minutes, one at a time, all night long. I was begging to go home within 36 hours.
I can't imagine doubling that with another mother in the room.
I have security concerns because of my job so they put me on some private list where they won't confirm I'm there, put baby on the website, etc. Because of this I also didn't have to share a room and it was so nice because DH got the extra bed.
Maybe if you tell the nurses why you need your husband there and are really nice, they'll bump you to the bottom of the list for sharing. I doubt every single bed is in use ever.
I've never seen a hospital with a queen bed, nor would I share one with DH in recovery though. He'd bump into me or something and I would've had to kill him.
To the OP that would be a deal breaker for us. My SO and I would both be devastated if he wasn't allowed to stay and help.