ULIP's are Unit Linked Insurance Plans which are publicized as combo offer of insurance and investments.
Ideally, the two goals i.e. insurance and investments should be separated from each other. Insurance is risk coverage of mis-happening and investment is wealth creation. The two should be treated differently.
If you are looking for insurance, Its better to get a term insurance and invest rest of the amount in Mutual Funds or any other saving instrument which you are comfortable with.
Also Post Office Savings Schemes are good, they offer higher rate or return, but problem is accessing their services, which are not completely online.
Yes, I agree. These are great ways of investing while you're earning. I would like to add that the stock market is also another great way to invest. All you need to do is open a demat account and a trading account with a registered broker and you are good to go.