I loaded the game after that, though. I didn't want to find out what's it like to be on the most wanted list.
The game's hard at first, there are many things out there that can kill you when you're starting (including stupid animals that shouldn't attack you in the first place). But after you increase your skills and attributes and get good weapons and armor, Morrowind is too easy.
My combat uses little or no magic, although that's an option. I must say I went for heavy armor, which is of course more protective than light or medium armor. And armor gives you more protection the more skilled you are with it.
OFF/ I'll note down your suggestion, but I don't know when I'll play DM2. Now I'm with the Elder Scrolls like you, and I also just bought Civilization V because it was cheap, but it will be long until I have time to play it... I did play Dungeon Master (1) a long time ago and I liked it a lot. I didn't finish it but I played a lot of levels. Having to make my own maps was a little too much, though, but I suppose DM2 will have its own maps.