Some ideas i had:
I think that that should be an invisibility power-up. You would still take damage and wouldn't be 100% invisible by possibly making you transparent or just somehow harder to see. been a couple of years since i played the original descent games but im pretty sure there was a a feature like this. and i am still pretty new to this game but this is just an Idea.
Another Idea is invinsibility for 5-8 seconds right after you re-spawn. sometimes from my limited experience I re-spawn right in the middle of a battle with other players that have buffs, weapons, possibly health, etc. Then i Just get hit by a couple of missiles and blow-up again. depending on the ship you choose that may not happen with a bulky ship, but with some others it has happened to me before. with this Your weapons would be disabled and you could not take damage. This is only to get out of the way of fire when you spawn.
Again i am new to this game only having played 7 hours so far and these things could be a horrible thing to add to the game.