What Is A Shadow Account For Life Insurance? 
A shadow account refers to the secondary guarantees of guaranteed universal life policies . There are a creative accounting practice by some life insurance companies to mitigate the cost of reserving . Last year AG38 was imposed as an industry wide regulation to compel life insurance companies to reserve more cash to the guarantees . Although some life insurance companies withdrew from this market , guaranteed universal life is still a significant product line among brokerage carriers . 