When the player dies, it passes to the next day and the player wakes up at the caravan/village.
Depending on the Difficulty, the player is penalized when dying.
Normal
The player loses a day, gold, and xp.
Hard
The player loses a day, a greater percentage of gold, a greater percentage of xp, and drops all non-quest unequipped items.
Ironman
Same penalty configurations of Hard, but the player loses the entire game and the Ironman run is invalidated if player chooses to continue, switching the gamemode on the save from Ironman to Hard.