I'm working on doing a big merge of the Dree "More Perks" for FO3 and FNV and one of his Anchorage perks does what it sounds like you're looking for. "Living in delusion" I believe it's called.
It has the mechanic for the effect built in. Now obviously they wouldn't drop any loot but you could probably drop an ash pile object or whatever and then do a ref.removeallitems ashpileref
or hell, even ref.removeallitems player
That would dump all the contents of the dead actor on to the player automatically.