I've been thinking about looting and, to be honest, I think it would be neat to have the player drop all the rares they have, along with everything in their inventory, but keep the non-rare equipment they are wearing.
Were this to happen, we should also get rid of life insurance completely. This way, decked people will still be able to dominate fairly well, but they have a MUCH greater risk. Non-decked players are still competitive, and have less to lose by going all out. I think this will mitigate the risk level a bit, and that will help to level the playing field as well.
People want to loot, but the primary reason they want to loot is to gain the decent rares the person has. Non-rare items are easily acquired. However, LOSING an entire suit of non-rare equipment does not lead to a great deal of risk rebuilding it, but rather to a fair amount of time spent re-equipping. I am sure most of you will agree, re-equiping is perhaps the most boring, annoying part of the entire game. And for many, it constitutes the majority of their gaming experience. In an effort to make the game more enjoyable for all, and less frustrating for the new folks, let's lessen the time spent doing pointless, repetitive actions that we all hate.
NOTE: Lockers, to an extent, serve this purpose. However, in my experience, lockers randomly disappear along with everything inside, regardless of money paid for upkeep. I just recently lost a sack that held my collection of heads from bounties collected, and I was sitting with over 500k in my account. If this idea is not implemented, at LEAST fix lockers so we can reliable store non-rares in them.