While all these suggestions to replace Living Dead sound nice, personally I really like how Living Dead works.
Aesthetic-wise, it's a very interesting system; you die, but have a chance to get your life back while your soulless body continues to fight until you either recover or it just tears apart. It's interesting, if you /gpose LD and pause the animation at the right frame you can see your (I assume) soul escaping your body before it takes too much damage. I'm curious how Living Dead works in lore, it says on the wiki that "aether is released from the body upon death and then disappears from the physical realm" Maybe it's already off to the other realm, but the spell (or ritual, whatever you'd call LD) prevents that from happening until your body just falls apart. Same thing for Holmgang lol, how's that even work? anyways, way off topic.
All I'd really love to see changed with the skill is the healing requirement lowered. 60-80% of your max HP healed instead of the full 100% would already be very good IMO.