There are many good insurance companies and products besides LIC. So, I suggest you should compare before purchase. People(like me in the past) tend to blindly trust the LIC agents and go for LIC products as it is one of the oldest insurance companies around. But beware that LIC too can create and sell a bad product to you.
BUT, never ever buy any UNIT linked policies or even better, never buy any policies from LIC. Instead put your money in a mutual fund with SIP option. I made the mistake of trusting my LIC agent and getting into a new unit linked product called Wealth Plus which matures at the end of 8 years and gives you 2 more years of life cover. I paid a one time premium of 2 lakhs for a 2.5 lakh sum assured and I was told that the the account is guaranteed to double at the time of maturity. In my opinion, LIC creates these unit linked or similar products which I believe are manipulated to keep the growth low. Probably LIC creates products from time to time to cover their possible losses or good payouts in their other products. Ofcourse, like any other Indian government company, you cannot argue with LIC after you have bought a policy and have crossed the refund period unless you want to get out with a loss.
At the end of 8 years, LIC gives back 2.64 lakhs. Market has gone from 16000 to 34000 in the same period, and the unit linked NAV has gone from 10 to 15? This makes it 3.5% return annualized after the mortality and other charges are taken. I could have put 5k every month for 2-3 years and sat pretty and still have access to the money whenever I needed it. Even if I had given a monkey the money to invest, it would double in 8 years.
I emailed a complaint asking LIC to explain the mismanagement of funds. They open a problem ticket and close it within 24 hours citing that what I got was the eligible amount minus all their charges. Then I wrote to their elusive ombudsman and so far no reply.
My recommendation is to avoid LIC or any government affiliated institutions if at all possible. You can create your own life insurance policy without paying heavy mortality charges by disciplined investment like I do now.
The only way you make good money out of LIC is to die soon after buying the policy so your family enjoys the returns. Sorry to say that.
My two cents.