by heroicbrew » March 11th, 2013, 2:20 pm
If playing an entire campaign, character death is permanent but the killed player can create a new character for the next quest. New name and backstory is required, and all you get is starting equipment. The rest of the heroes can share their gold with you in order to buy stuff before the next quest, but they don't have to. Most of the time there is enough gold in the party that the new character can afford to re-buy the items they previously had. If the entire party is killed, all players would have to create new characters and start the quest again at 0 gold and starting equipment. None of the official quests are so difficult that the heroes can't get back on their feet. The only time I've had this happen is when the heroes are making really dumb decisions, like splitting up and allowing the wizard to die an early death. They don't usually make the same mistakes the 2nd time around. Any lost artifacts I will randomly insert into the next couple of quests, as stated in the rulebook.
If playing a one-off quest, either created by myself or downloaded off the net, character death is also permanent, no respawning etc. Myself as Zargon will play more ruthlessly, Descent overlord style, in order to give the heroes a greater challenge. I usually give them a bit of gold to equip themselves at the start of the quest. Some of the quests I create have victory conditions, like the wizard must survive (the heroes are escorting the king's wizard through the dungeon, but he also acts as a player). This encourages more teamwork, and adds a different dynamic to the quest.