I decided to implement two permanent death situations as early as Chapter 1. In one case, if you take too long (that is, if you die), you are found by someone who wants to eat your heart. In the other case, someone kills you in revenge for attacking him.
Since I've even gone so far as to provide clues in the dangerous dungeon puzzle and a nice means to keep any accidentally released enemies away (if you can run fast), this was the least I could do to feel like a proper sadist.
Updating my small list of tasks that I posted here. My big lists of tasks are still a nightmare.
2. Xaxo's quest - done.
3. Escape from G5, teleport and the activator, Arana's variables - not done.
4. Alliran chase scene - done (Brash's "intelligent" behavior, the best I could do, including the rescue of the player character if she dies here).
Sir Brash is supposed to lead you through this area, but if you fall behind (by dying), he really wants to save you. I'm still fine-tuning things to make it possible to go through the sequence without dying. Wearing an armor might help me. Or being level 2. :)