Freaking me out

Olivia's new thing is to ask about death - or dieing - or killing - or anything that results in one being buried in the ground. Honestly, after the conversation I had with her on Sunday, she's starting to FREAK ME OUT!!!!

Here the story:
Olivia: Mommy! I'm the new teacher Ms. Linda (don't ask, I don't know?)
Me: Hello Ms. Linda
Olivia: I'm taking over at daycare because Ms. Judy, Mrs. Dawn, Baby Allison (Dawn's youngest daughter) and Ms. Ada are all dead.
Me: Dead? No....they aren't dead. They are on vacation.
Olivia: Fine...they are on vacation......(long pause, stare)....DEAD.
Me: NO! Let's not play they are dead, they are on vacation.
Olivia: *sigh* Fine, but they killed themselves on vacation.
Me: What? No, how do you know about killing themselves?
Olivia: They shot themselves with a gun and died.
Me: Ok, I'm done playing this game....
Olivia: It's just pretend Mommy - DUH!

I immediately called Nana and she assures me that it's a normal phase and that Olivia is just at the age where she notices this stuff now. Maybe I should have talked to her about death and stuff more but I honestly don't see the point. She's only 4 - why should I throw that in her head? Maybe I'm just being weird. :) Nah! But she is freaking me out a little!