When you've been lynched by the villagers or ripped apart by the werewolves, I believe the rules say those players are completely out of the game and should not contribute in any way.
In the handful of Werewolves games I've played, some of those dead characters are put out that they aren't playing any more & decide they'll go and do something else, hence splitting up the party.
Do people have any house-rules or innovative ideas for what dead players can be doing within (or around) the game as it continues?