One good reason why it's good they removed a previous requirement that all student loans pass through private banks. Over the objection of the banks, of course. The main reason they did it, of course is that it's cheaper for everyone but the banks, who lost a sweet deal that practically guaranteed they would make lots of money on the loans. BTW, death is only one reason for loan forgiveness, there are others.
You still can get a student loan from a private bank if that's what floats your boat, but there's no reason to. And this thread shows there's a huge downside.
More here:
http://www.nytimes.com/2009/07/11/ed...educ.html?_r=0
https://studentaid.ed.gov/repay-loan...s-cancellation
Elizabeth Warren would like to go further, by letting students refinance student loans when interest rates drop. The plan is widely considered to have no chance, because it would reduce the profit the government makes on student loans.