The key is "term insurance" . I'll explain : In India, there is something called moneyback insurance , unit linked insurance plans (ULIPs) etc. All these combine the (worst) features of investments and insurance - they are too costly, don't give much returns and certainly don't give enough cover. I have advised people I know not to touch these. Instead, use a combination of term insurance + any other instrument (like equity mutual funds or bonds or even bank deposits)

Term insurance is just that : if something happens to the insured, his/her family get the benefits .