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Benquo comments on Why is it rational to invest in retirement? I don't get it. - Less Wrong Discussion
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The "death Insurance" you propose is called an annuity. It's a very standard and common product. However in practice it is almost always a bad investment. You get higher returns at less risk in an index fund with a large bond component. There may be very special cases where it makes sense for very wealthy individuals, with particular tax or estate issues, but for most of us an annuity is a ripoff.
That article is about deferred annuities which when used correctly are basically a tax-advantaged retirement account. There are lots of kinds of deferred annuities, some of which are gimmicky, all of which charge some fees to capture some of the tax subsidy.
Immediate annuities are "death insurance."