I think that it is called an immediate annuity. It is a standard insurance product that offers protection against outliving your assets. You pay a lump sum in return for a guaranteed income as long as you live. Yes, if you die early, the insurance company wins, if you live longer than expected, the insurance company looses.

I think these are more common in Europe where people will often take a lump sum pension payout at retirement, and buy an immediate annuity.