Personally, I don't really care one way or the other, I chose context > sheltering with my 13 year old daughter and I'm not worried about her getting scarred for life over anything in a computer game. But the ESRB isn't the only rating system BGS is dealing with, since Germany and Australia rating systems have their own quirks.
You can stop right there with the name-calling, thanks. I was born in 1971.
As for it being in since Arena and Daggerfall, that pretty much ended with Daggerfall, and all it ever amounted to was a faction, you couldn't get 'serviced'. Politicians got a bit foamy at the mouth over the nudity in Daggerfall, and it contributed to the ESRB getting created in the first place.