I'm very satisfied with the new UI hit/loss markers I made for the last game. Each hit marker has a single loss indicated on it..."1", "2", or "3". For the 4th UI loss, we just remove a stand.
I like the 1 hit per marker much more than having multiple hits on a single marker. Having multiple hits per marker means that the marker has to be oriented, and inevitably in the heat of battle, that orientation gets lost and the question comes up "is that a 2 or 3 UI loss:????".
The really nice thing about the single UI loss per marker is that it is a tangible, tactile event when the markers are place and or replaced. It marks a dramatic event, and serves to remind players of the loss, as well as the need to remove/lose a Morale Point. It just "feels good" to see your opponent have to take off that 1 UI marker and reach down to get a 2 UI marker and place it on the unit. Maybe its just me, but I find that much more satisying than seeing him just twirl the marker to 2 instead of 1!