Personally, I find the idea of "dying" in a game rather pointless and very immersion breaking. The player can never actually die. In single player I am booted back to some sort of loading screen and reload a save position. In E: D I am going to do something similar and carry on playing.
I am INVINCIBLE!
Depends how you look at it. If you look at it as just a game, I get where you're coming from. But I would hope that ED is so immersive that I often forget its just a mere game at times. Not being able to die or being invulnerable would be one way to break me from that immersive feeling and bring me out of my fantasy world with a bang
I think in soloplay its not really a problem, this death thing. But in multiplayer it does take on far more significance since simply reloading isn't possible. Personally I favor something like what Eve has where you're 'reborn' into a clone in a medical centre. Just because Eve did it first shouldn't be an issue with FD or its players. Its a good compromising mechanic that works very well.