Original Post
How would you handle it? The cost of death is directly related to the amount of time the player invests in their character. The idea is to make 'losing' as painless as possible, because players don't like to lose. It's generally done in two ways. In a game like WoW, death doesn't really mean anything. You just respawn, your character is intact. An FPS handles it from the other direction. Players don't invest any time in their character, so they don't lose anything when they die. I intend to mitigate perma-death by using a skill system instead of a level system, making it quick and easy to gain skills, allowing 'children' to inherit a characters possessions, and putting a hard limit on a character's lifespan so that they have to die eventually no matter what.