Mine goes one step further and completely dumps me out of the game when he gets hit. This is a repeatable issue.
I also get something similar (without the spinning NPCs) down in the orc camp. When the casting Orc (can't think of his name - but he does have a specific name and "stops" you with a cutscene briefly before coming out of his tent and attacking) casts some sort of magic bolt spell at me it immediately dumps me out of the game. This is repeatable as well...