A little bit of backstory: I was doing a voyage for the Order of Souls and ended up with like a dozen skulls (which IMO shouldn't glow through ships and make you light up like a lantern considering it's easily the most common loot in the game, but I digress) and I parked on an island to kill some more skeletons when another player came up and started throwing firebombs at me and lighting my whole ship on fire. I started putting the fire out and of course caught on fire myself, so I went to put the fire out and it did.
The issue is that I kept taking damage even after the fire was put out. I dumped my bucket on myself, the fire on my character went away, but I still died. I couldn't take the lantern on the ferry, so the game didn't even think I died by fire. When I respawned, I immediately jumped off of my burning ship into the water and STILL kept taking damage. The other guy was easily able to shoot me once to kill me since I took over half of my health worth of damage after jumping into the water with seemingly absolutely no source.
Is this a bug or am I just missing another weird obscure fact about that game?