So Crowfall offers you a bit of a good news/bad news scenario right from the start. The bad news? You are dead at the start of the game, which is generally something of an impediment to doing things. The good news is that you were pledged to eternal service by your patron deity, which means you get to occupy the body of a spirit crow. So all you’re occupying is a vessel, crafted by necromancy, which is explained in more depth in the most recent dispatch from the development team.
Once a vessel is dropped to 0 health, any inventory items on the body can be looted and the vessel’s spirit crow is sent back to the nearest temple. Players who die in the field can choose to fly through the world to recover the vessel (which lets you recover your items not already taken) or simply occupy a new vessel at the temple (which causes equipment to lose durability and leaves your items, but keeps you safer). Of course, the quality of the vessel available to you depends on whether or not you have any high-quality crafted options. Which is a bit morbid, but it means that death takes on a different sort of economy in the game.