Actually we penalize by making the re-spawn time significant, 20 minutes after you hit the "Dead Zone".
Our medic carries a bag with bandages, and simply needs to reach the player before bleed out and attach the bandage. The bandages are white with a hollow red cross and velcro attachments. We specify the arm the bandage must go on for the injured player to be back in game.
The medic wears a white armband with solid read cross and can not heal himself. His is worn on the opposite arm for clarity. Makes for a great sniper target