Synonyms and other taxonomic changes
Arilus cristatus (
Linnaeus, 1763)
Explanation of Names
Species name cristatus is Latin for "crested"
The common name derives from the coglike projection on the back of the mature insect.
Size
at 28-36 mm (females larger than males), our largest assassin bug
(1)Identification
The "wheel" on the adult insect's back is unmistakable. Immature nymphs are mostly red. Adults are gray to brown.
Range
ON, much of the US (west to NE-NM-CA) to Mesoamerica (Hagerty & McPherson 2000)
Habitat
Found where prey is abundant: adults often lurk on composite (daisy-like) flowers attractive to insects, or prowl in trees where caterpillars are plentiful.
Season
Nymphs hatch in spring, adults are found late spring into fall and early winter.
Food
All stages prey upon other insects - caterpillars, aphids, bees, sawflies etc. - and are thus considered beneficial.
Life Cycle
One generation occurs per year. Adults mate in fall, the male then guards the female

since other males may try to move in

.
Clusters of eggs (described as "brown bottles with fancy stoppers") are laid in hexagonal clusters of 42-182 on trees, shrubs or other structures, generally within 4 feet of the ground

.
Here's a great series from Jim Kramer on eggs and hatching (more in the guide):
After eggs hatch in spring

, nymphs develop slowly. They must
watch out for predators including their own brethren!
(about 3 months to maturity): red/black
red/grey
grey/black
They hunt down their prey such as this one walking on a Hyphantria tent
and attack
They have a heavy beak for feeding

,
pierce their prey and eat
They need to molt in order to grow, described by one contributor as looking like an orange bug with a spider stuck on its tail!
Which can be fatal if they can't extricate themselves:
Adults are generally not seen until May even in warmest parts of US
Some are unfortunate victims of parasitoids

.
Others thrive, sometimes even with deformed wheels

,
reproduce,and the cycle begins again. Adults may survive into December in warmest regions.
Remarks
CAUTION: The bug can inflict a very painful bite. Ammonia water and magnesium sulphate soaks can be helpful in relieving pain from the bite. Perhaps (like fire ant bites), quick treatment with an ammonia-based household cleaner may be effective if you have been bitten. More suggestions
here.
Print References
Hagerty, A. M., McPherson, J. E.; Life History and Laboratory Rearing of Arilus cristatus (Heteroptera: Reduviidae) in Southern Illinois. The Florida Entomologist Vol. 83, No. 1 (Mar., 2000), pp. 58-63 (
PDF) (life history)