Yes, I think that's the best approach if all you're doing is character animation. Once you have your set composed in Terragen you now have a 350 degree stage in which you can pose your characters. No, you cannot pan, zoom, or travel the scene but you can shoot at different angles once you have the Terragen background stills rendered. Attached is a still from an animation of Michael 4 rendered in Daz Studio (which is free). It took 26 seconds to render so at 30 frames per second, a 10 sec render would take 2.2 hrs.