Heck even drow are considered kill on sight in alot of situations. Tried explaining this to a new player but she liked the look and wanted to be a wandering exituc princess or something like that. Wasent the DM in that case so left it up to him but he explained the penalties that she would have to deal with and that offered that each race has some variety in what appearance they tend to have so she opted for a wood elf instead.
Gave her the character she wanted, we dident have to treat her poorly because of her characters race and fun was had by all.