I don't know of a one-size-fits-all solution for dealing with murder.
Suppose the murder victim was kithless. To whom would restitution be owed? Obviously, it doesn't bode well for a community to have a murderer running around so I think that the nearest DRO/s, security firms, reputation agencies, etc. would be responsible for keeping this individual away and of informing adjacent areas of the potential menace.
In a situation in which the murder victim's kin are alive, restitution would have to be made by the murderer (after conviction) at the kin's discretion or find himself branded an outlaw.
Outlawry is the act of putting a person outside the protection of the law. Historically, it was used to brand people who failed to answer for criminal indictments.
A free-market instrument for averting a potential financial catastrophe in the wake of a murder takes the form of life insurance. However, it obviously can't replace the lost companionship of a friend or family member.