I think its a GOOD thing that the game be ridiculously hard. Gamers now-days get way too but-hurt feelings on a GAME OVER. The problem is, the game isn't.
It seems hard until you get what Larian really wants you to do, forget D&D and use LHR (Larian House Rules) gimmicks/cheese the battles. The <problem> is we have choice but AI does NOT. We can force ourselves to play D&D style (ignore barrels, pretend shoove is a regular action, turn the gamma/brightness down to simulate day/night cycles...) but the AI in combat will use LHR...