I think the point is more about highlighting the fact that AI doesn't share our base assumptions. We wouldn't think to put a huge penalty on dying because humans generally think that death is bad.
We don't receive a penalty for dying. The difference between suicidal humans and suicidal AIs is that suicidal AIs keep respawning i.e. they are immortal.
Looking at genetic algorithms makes a great comparison. In essence any algorithm in which the wolf commits suicide doesn't make it to the next generation. It's the equivalent of an enormous score penalty and 100% analog to how it works for actual life.
Genetic algorithms are based on the same reward/cost function setup. They could easily arrive at the same conclusion because suicide might be the dominant strategy.
Humans don't put a huge penalty on dying. We discount it and assume/pretend that once we've had a good long life then death is okay and euthanasia is preferable to suffering with no hope of recovery. AI wolves that can live for 20 seconds are unwilling to suffer -1 per second with no hope of sheep.