You forgot the "Heav" part of the title lol It seems like an interesting idea, it'll definitely make the game more realistic. But I don't think we're ready for that yet. It seems like it would frustrate most players after they lose their favorite character by pressing the wrong button or something. If you lose your favorite character and want him back, you can't just turn it off and start from a save point. You'd have to kill all your characters and start from the beginning... Still an interesting concept, though.
First thing I'm doing is killing everybody. Maybe they'll have a trophy for that just for the hell of it. I'd lol.