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I really want to say that you should pay. Obviously you should precommit to not paying if you can, and then the oracle will never visit you to begin with unless you are about to die anyway. But if you can't do that, and the oracle shows up at your door, you have a choice to pay and live or not pay and die.
Again, obviously it's better to not pay and then you never end up in this situation in the first place. But when it actually happens and you have to sit down and choose between paying it to go away or dying, I would choose to pay it.
It's all well and good to say that some decision theory results in optimal outcomes. It's another to actually implement it in yourself. To make sure every counter factual version of yourself makes the globally optimal choice, even if there is a huge cost to some of them.
The traditional LW solution to this is that you precommit once and for all to this: Whenever I find myself in a situation where I wish that I had committed to acting in accordance with a rule R I will act in accordance with R.