Life insurance other than term is usually not a good deal. Insurance should be used to cover unexpected but life altering events (death of a wage earner before they're done earning wages), not as an investment (a place to put money until someone dies of old age). Your parents should give you the money as cash and you should invest it. If you are in a lower tax bracket or are comfortable holding the same investment I think they could transfer investments directly to you to keep the capital gains tax bite lower.
Also note that they can each give up to the annual gift limit, and they could give to both your husband and you, so that would be $56k/year. Your husband would be able to keep the gifts to him in the event of divorce, whereas if you're careful to keep it separate from joint accounts he may not be entitled to gifts given to you, so that's something to think about.
If you have or plan to have kids your parents could set up a 529 for them (in your name which can later be transferred if you don't have them yet). You'd have to check if this counts towards the gift limit if it's in your name.
Terran,
The parents are not trying to buy life insurance, they are trying to transfer assets in a tax-preferred way to their family. Life insurance products are indeed a very good way to do this, with some controls. Life insurance agents or brokers can describe the various products, (without cost to you), and I would get quotes from at least 2 or three different sales people, and closely compare the offerings. Heck, you can even ask the life insurance agents how their proposal is better than the one you obtained from the other person.
Irrevocable trusts (sans life insurance) are another way. You need to be talking about a lot of money over the years, or a need for a lot of control over what happens with it, for the legal costs to set these up to make sense to you. However, a lawyer that specializes in them could be worth a quick consult. This is the classic way to do what you are thinking of.
An Irrevocable inter vivos (living) trust -- allows your parents to put the money into the trust, and it is taxed within the trust, and not attributed back to them. BUT, when created, they can state what type of investments it can be used for, everything from buying property to fixed income products, or equities (or bar different types), or even if it is allowed to be distributed to others as cash. They assign a trustee (or themselves) to complete these instructions, and the trustee is bound by them. As they are alive, they can continue to have a say in how the money is invested (by talking to the trustee, but only within the rules set up originally for investments). When they die, the money usually goes to the beneficiaries, or it can remain as a trust to trickle out money to beneficiaries (there is a limit on how long it can exist, something like 80 years).
Because it is a custom trust legal document, they can cost money to set up, so are best when enough money and taxes (including probate / estate taxes) are involved (or control wanted) to justify them. The trust can be allowed to distribute lumps of cash to the named beneficiaries as well, at the discretion of the trustor, if set up that way. Some people use it to buy a house for their relatives to live in, for example.
http://www.investopedia.com/terms/i/intervivostrust.asp(note, I think that the comments about "will" in the last paragraph are incorrect / typo... if you set up an inter vivos trust, which by definition means that no one has died).