Soooo....new life forms are created...how?
With multiple successive speciations.
What happens (for the general reader) is that at some point the population will differ enough from the parent one that we will give it a different name.
As an example, at one point feathered dinosaurs differed enough that we could call them something else, in this case birds or the taxonomic group (class)Aves. The name we give these biological groups are just what we decide to call them. Somewhat arbitrary but very useful.
Lets take the good ol Robin using Linnaean taxonomy.
All Robins are animals and all of their offspring will also be animals.
All Robins have backbones therefore all Robins are animals with backbones (Chordata) and all of their descendents will also be animals with backbones....every time.
All Robins have certain characteristic where we name them Birds (Aves) All Robin offspring will also be animals with backbones that could be termed birds.
Now certain groups of birds developed a lifestyle based on perching and as a result have certain physical characteristics for that purpose. Those birds that fit this are called Passeriformes or perching birds.
So all Robins are animals with backbones who are classified as birds and who have the physical characteristics for a lifestyle based on perching. Their offspring will also fit this descripton.
Next, all Robins fit into a groups we call thrushes. Robins are Thrushes. So Robins are animals with backbones who are classified as birds and have a lifestyle of perching and fit into a physical group known as thrushes.
Robins are a specific kind of thrush classified as Turdus migratorius.
So all Robins fit within each of these groups and all of their descendents will also even if the change over time is enough for them to be given a different name.
Now when one gets to Cladistics, it is organized somewhat differently but this I think makes my point. Populations keep speciating and and since nothing stops this from happening, the different groups continue to develop into other groups often given different names and the process goes on to produce the diversity of life we see.
This is not my field of expertise and I am describing it from an informed layman's view so if those with better training wish to correct me, please do so.
Dizredux