This game focuses on immersion. This isn't some MMORPG where peopole just "mess around". Revealing armor/clothing only realy works on something like a succubus. But put it on a fighter and that just makes no sense. Unless you drastically lower the AC (as revealing armor SHOULD be doing in other games) to compensate for that. The character should also be more vulnerable to things like fire and acid. Due to the lack of protection.

Have it as a mod. Everyone wins. Skyrim did something similar actually.