How exactly does the " Enable death" toggle truly work as of Jan 2021 ? And What is LOST??

I know that this question has been asked oh so many times and every time I had a thought to look it up and find out, I just drop down a rabbit hole creating even more questions than the original questions I had and no questions were actually answered.

I got the game in 2018, but never really watched who and how a NPC died.
I also didn't have much time to play the game when it first came out, so I figured I didn't see a lot that had been updated.
I'd read the little texts in the panel about what going on in the Kingdom and read how " Henry the Red " has been lost (I'll address that question too) or some one having kids. So-and-so was defeated in battle.. you know what's there.

2019 -2020 I saw pretty much the same thing.

Now.. between August 2020 and now, January 7th 2021 I've seen some interesting things as I've been able to play a lot more. There had also been numerous updates as well.

I've noticed that NPC's do indeed die from old age or even in child birth. One campaign, my character was married to Svana, she died in child birth after having 2 children at the age of 23. Even said so to a degree in the Heroes section of the encyclopedia. Showed her "grayed" portrait next to mine in the Encyclopedia when you looked at one of the children and kept it as Ex-spouse as well if you remarried.
Other lords died in the game of old age as well. However it has been recently, ever since the update just before December 10th 2020 (approx.) that things started getting interesting.

Lords were having Children, but all of the sudden, Lords were getting married. So this prompted me to seek a wife early on.
Seeing as the females with the better skill sets were around my characters age were still single, I'd hunt one down and marry her ASAP. Also noted that a few marital choices were gone early on due to lords getting married to them.

The one that really got me was the deaths though.
I have DEATHS turned off.

I have been under the assumption that DEATH meant that neither my character nor NPC's would die in battle or be executed but they would still die from old age.
I had been under the assumption that if I had DEATH turned on, then when I first started the game, day one from leaving the tutorial, my character could get caught by a roving band of looters and could be killed in battle due to my character not being able to run away or from grievous wounds through combat.
I assumed that this also pertained to any NPC followers I picked up along the way that joined my clan. No one died in battle, but old age would eventually come.

Recently, I was in battle with Vasilia and she died in battle. With Death turned off, I had thought this was impossible.
Of course in the Encyclopedia the entry literally reads...
" Vasilia was ERROR: Text with id str_faction_official doesn't exist! of the Southern Empire. She died in battle in 1088 at the age of 23. She was reputed to be ruthless. "

I know there are bound to be errors and glitches, but as far as I'd know, turning off death prevented this from happening. (The death, not the code glitch for the description)
I haven't read anything in game about NPC Lords being executed or dying in battle until I killed this one NPC. Didn't read anything about it happening in the 250 some odd days of in game time play for this campaign.

So what does the Death button in the campaign set up actually do now? Does it allow for Death in battle or does it just enable NPC lords to kill you and your NPC followers?

The other side of this question is about LOST.
what exactly does LOST mean?
Does it mean that " Cadfin Ironbelly " went out for a card game and smoking tobacco and couldn't remember how to get home?
Does it mean that he went for a walk in the woods and no one has seen him ever again? What does LOST mean?

I hope this wasn't too entirely long to read.

I've tried reading posts about the subject from other threads and on other sites and noticed that they've been archived here and you can not post to them to get further answers or ask further questions...and they seem to be at least a year old if not older. Since there has been numerous updates to Bannerlord, I figured it was safe to post this.

So once again..
What does the DEATH button in the campaign set up actually do? and what does it mean when an NPC becomes LOST?

I know everyone has had different experiences with gameplay and most of the time when someone asks what the DEATH toggle does it seems the answer tends to be almost cryptic in the answers people give. At least in the posts.
Even the tool tip describes the DEATH toggle as your character and NPC's don't die in battle if this is toggled off.
So how did I actually kill Vasilia in battle at the age of 23? It wasn't old age that helped in that and I know for a fact I have the in game DEATH toggled off.

Is this something that has a "chance" of happening during battle regardless of having Death toggled off, or does it mean that my characters and members of my clan won't die in battle, but can be executed by a vengeful lord that hates my character because its Tuesday?

I hope someone can answer at least one of those questions in a near definitive answer LOL.
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