cityboy

Human capital bond like = a proefssor at university no matter what he does he will always have a job there and won't get fired. aka you get your coupon (salary) each time.

Demand for lifeinsurance = high because think of it this way.... he will never have the potential to make the bill gates salary because he is steady eddy. Life insurance is variable so it replaces that equity component.

Now for someone who has an equity like human capital, he already is swinging for the fences, so doesn't need that life insurance.

hope that helps.