How about when you lose, there is a certain chance that you lose an item, and that is is done for each item you have with you. that way you could lose everything, 1 item or maybe even nothing. I think the same about that, much better, and it makes you be more carefull so you just dont jump into that dragon mouth to see if he has a need for a dentist.
And wouldn\'t it be better to let the dead be? that when you die, you character won\'t be available for 12 or 24 hours, and then it will be \"resurected\" by the game and put into the starting town again. Like a sort of penalty so there isn\'t a chance to get a quik revenge against who or what killed you.
the time is just an example, dont get so frustrated!
and about quests, i haven\'t seen or read anything about quests yet on the main page of PS.