We are approaching a hard spot of this discussion, that is the compromise between a pure simulation and a pure game. This wasn't OP's point, who was more concerned about the unrealistic invisibility of contacts, which often disappear even at close distance.
I underline my opinion, based also on my real life experience: close contacts and contacts against the terrain are too hard to spot with respect to reality. Far contacts against sky are a mixed bag, sometimes easy, sometimes vanishing. LODs are to be revised here, among other things. Playability is at stake.
Cheers,
Ins
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