The player is drawn into the world of Dead Island on the brink of a mysterious epidemic that suddenly, and without warning, breaks out on the fictional island of Banoi. As a guest of the Royal Palms Resort, the player's stay was supposed to be a dream holiday; a luxurious getaway to the beautiful beaches of a tropical paradise. But faced with the reality of a zombie apocalypse, there is only one thing left to do: Survive. This is Dead Island; a paradise to die for.

The island of Banoi is a lush, tropical paradise in the South Pacific where its flagship Royal Palms Resort serves as the ultimate getaway for vacationers with money to burn. However, all good things must soon come to an end - and the picturesque resort falls into madness, carnage and chaos after a mysterious and contagious zombie outbreak claims its once peaceful atmosphere. Cut off from the rest of the world, only four individuals who strangely find themselves immune to zombification have the power to protect the remaining survivors from the horrors of the island, to discover what's really going on and find a way to escape before their own fatal ends.