Tired of reloading due to character's death? Did you know that reloading from inside the game can cause all sorts of issues to your savegames? Want a way to avoid having to reload, or at least to have less reasons to?
These were my reasons for making this mod, so I hope they have convinced you :)

Requirements: OBSE v. 20+
As of version 1.3, this mod no longer relies on Cobl's death handling mechanism. Deaths due to the Kill command and such will not be caught by this mod, but then that means the script causing it really wanted you dead, right?
There is however a little surprise if having Cobl installed...


Let's spin this [nummit]
You might be familiar with the mod Wrye Shivering Death, which was the major inspiration for this one in many ways. This mod works in a very similar fashion, with a twist: you needn't have completed the SI main questline for it to work.
Upon 'dying', all the items you carry will be left behind in your 'corpse', and your 'soul' will be carried to a 'metaphysical hall', where you will find nothing but a portal and ominous statues, looking at you.
I now provide a pair of options for where you're sent to upon death. Default is a hall of the Nine Divines, where each altar represents a Penance for you to carry. You can also enable in the ini a Daedric hall where you can find statues to the 15 Daedric Princes, for roleplaying purposes.
Before abandoning the hall through the portal and reforming your body back in Mundus, you have to choose a Divine's Penance or Daedric deal, by activating the corresponding altar at the base of the statue.
The Divine's Penances are strong attribute and skill drains that will last for nearly 3 and a half real-time hours. Each one is associated to the blessing the Divine's altars gives: the Penance of Talos drains your strength and combat skills, while the Penance of Zenithar will drain your luck and mercantile.
In the case of the Daedric Princes, they will damage one of your attributes at random as payment for their service. These can be restored through the usual means. You can customize the amount of attribute lost and the Penance's length in the ini.
After you have choosen, the statue will disappear, and in your future deaths you can't select that one again until all the others have been chosen. You can then step through the portal, which will reform your body at one of the wilderness shrines dedicated to that particular Divine, or at the Daedric prince's shrine (NOTE: the Dagon statue will select one of the other 14 shrines at random)
You will then find an active quest in your journal named After The End, with a marker pointing to the place where you deceased, intended to facilitate you the task to recover your belongings. Indeed, at the quest's target you will find your skeletal corpse with all your possessions in it, and activating it will return them immediately and remove the quest.
Once you beat the Shivering Isles main quest, you can enable an option to make the mod work as if the reward spell Sheogorath's Protection is always active, even outside of the Shivering Isles. Upon your death you will respawn at Castle Sheogorath with all your equipment intact, and Haskill will offer to teleport you back to the location where you fell.
When fighting against guards due to having resisted arrest, there's the option for them to force you into jail if they manage to defeat you and you crime gold is under a certain limit you can customize. As a safeguard, if the guards don't manage to reach you in 15 seconds after defeating you, the regular death mechanisms will kick in.

Remember to check the ini at 'Data\Ini\MigNoDeath.ini', where you can customize mechanical aspects like how to deal with other scripts' alterations to your health, in case a particular mod is causing problematic health drains leading to death.
You can also customize aspects like how to deal with your quest items upon death, or a loss of gold associated to your death if you want more permanent consequences.


Technical
Drop to Data folder and activate MigNoDeath.esp, there are no direct compatibility nor load order issues. You can customize some of the mod's options in 'Data\Ini\MigNoDeath.ini'
In some circumstances, it is possible that you can escape from an area you aren't supposed to be able to through death. There's no easy universal way to tackle this, so I haven't. Just use common sense to determine when such a thing has happened, and if it has, a possible solution is using MoveToQT in the console with the quest After The End selected.
Only deaths due to health damage are eligible to be handled by this mod. If a script kills you with the kill command, you're toast. Then again that usually means you have to be more careful, right?
If you want to uninstall while affected with a Penance or without having recovered your corpse since the last time you died, type in the console 'set migDeathHandlerQ.INIT to -1', which will dispel the Penances and give you your stuff back.