Originally Posted by Benjen
I think have read that if your army, led by an hero is defeated, he appears hurt in your home settlement. It will be cool if he could be captured by the enemy and you have to pay for him rescue in gold or whatever that his captor demands, and if it's posible, with your captured troops
Or perhaps as one of the available quests where you have to infiltrate a settlement and rescue the hero?
And as for the morales effect, I think it should be like games such as Dawn Of War, where it decreases under attack and when it gets low the units take increased damage and perhaps flee?