This is an interesting conversation. I'm not sure what I would do, but I would talk to midwife and if possible look into her history...does she have other baby deaths, what is her transfer rate, etc..
Yes, babies do die anywhere...at home, in hospitals, etc. With birth can come death, and all mothers take that risk once they become pregnant. However, while all baby deaths are tragic, in my mind there is a difference between an unforeseen, unpredictable, unpreventable occurrence causing death, and a death caused by taking a greater risk which COULD have been prevented. Because, if we are being totally honest, this baby's death most likely could have been prevented. If this baby had been born in the hospital via c-section, like 95% of all other breech babies, then likely that mother would be cuddling that baby today. Yes, things can wrong in c-sections. Yes, things can go wrong in hospitals. We don't know that things would have been fine in the hospital, but they likely would have.
For some people, that may have been an acceptable risk to take. For others, it may not have been. I know *for me*, (as a mother, and if I were a birth professional), I would not want to have any death on my shoulders that most likely *could* have been prevented if different choices had been made. Other people would make different decisions.