First off, I know that killing characters isn't enjoyable in itself. It sucks. IamTheTest, you have my sympathy on this.
I need advice. What should I do? Im thinking about giving out action points so that death is still a possibility but it is more avoidable. Maybe an NPC cleric could do the trick. Help?
There are several possible options. Each do not exclude the use of another:
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Having the PCs know of a Temple practicing Raise Dead and Resurrection spells. It could become a quest in itself to gather the funds or "pay in service" for such a spell. This is the easiest path, but also the most damaging I think, because it makes death meaningless - hence the necessary price for such a come back.
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Try to make it clear with your players that a character death isn't ever useless. It is good for the story, because it provides players with drama. What is the reaction of the characters to their buddy's death? How does this affect the group? What are their opinions regarding each other's reaction, and how does it affect their relationships and the party's alchemy? The death of a party member shouldn't go unnoticed or be considered as a detail of the campaign.
- There is nothing more frustrating than a meaningless character death.
Try to make sense of it in future adventures. Realizing that the character's death actually allows the PCs to fulfill whatever quest/mission they want to succeed. For instance, a temple dedicate to a deity of death or a dead deity may only allow people who themselves know the death of relatives within its walls/ruins/boundaries. For dead gods, the supplement
Requiem for a God of Malhavoc Press is great.
- It is an event of the campaign.
It is an element you can use as a DM to spawn adventures. Think about the possible consequences of the character's death. Perhaps the druids of her grove will contact the party? Perhaps these druids "felt" her death and know of a solution to bring her back? Or perhaps they weren't and hold the party responsible, asking them to make amends for this? What about the family of the dead character? Perhaps the party will meet a relative in one of the next towns they'll visit? Will they lie about it? What if this relative is a Wizard able to detect lies?
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This is an opportunity for the player with the dead character. She has a number of options: she can create a new and improved character. Or she may want to play her. You could allow her to play a Ghost/Spirit, for instance:
Ghostwalk Campaign Option may be very useful for that. Or, if she really isn't the kind of player with metagame issues, you could allow her to play a relative. Be careful on that one: some players like to bring new characters knowing their old one so that they can get RL revenge within the game. This isn't good because it makes the player very much involved emotionally and brings a risk of argument at the game table.
I hope this helps,
Odh