ok where too start hmm ok at Nurka when he spawns it becomes a siege(siege ruls apply here) as such you don't loose items or exp when dieing to Nurka and...AND if someone else kills you they don't gain karma aka chaotic state(ps this is a great time to have pvp battles as theres no penaltys)...
Now when white and killed by a mob you have a slight chance of droping an Item but not to sevear and a loss of 10%exp on average now when red and being killd by other ppl(whites/purples)I think it was a 50% more chance of droping an Item and being able to drop 4 at a time, as for being in purple state well that's just open invitation to pvp

this is why ppl bait others

cause 1 you do not go "chaotic" and if you die when purple you don't lose Items. This is why you have 2 kill markers on your charecter bio 1 is pvp the other is pk pvp is when you kill another purple and pk is when you kill a white(therby gaining karma and going chaotic)