@MelonHead
Let's say a character has an insecurity, Shin's own face works nicely. If someone intentionally jeered at his face, it would be very distracting. Frustrating and if they went out of their way to harm his face worse, it would set him on a tirade.
The emotional aspect of fights is too often ignored. That's why Shin wears the mask. None of his other injuries are bothersome, but the facial disfigurement is humiliating. Especially since it's his greatest failure.
Shin is a special case though, he has a visible flaw that can be picked up on by any opponent who can reasonably infer that he is sensitive about it. I agree with you however, outside of taunts which I have to admit I don't think would be very effective most of the time, people still sometimes fall flat on RPing real characters in Arena. There's always a danger of slipping into combat robot mode where the feeling of your character is barely there. Ironically, speaking of the Weeper, I made him a while ago to essentially force my opponents to pay attention to that side of fighting, I never got to use him much though.
My characters, as a whole, tend to be fairly melancholy. Some are slightly unhinged, most have regrettable circumstances in their lives which account for them essentially living lives of war, at least whenever they're unfortunate enough to be having their story told through me. However it would take a fairly perceptive opponent to really pick up on my character's insecurities and exploit them. Fury is by far the most vulnerable to emotional manipulation. The only character of mine who really does lack emotion is the Clockwork Man, and maybe Judgement, but that lack of emotion is significant parts of their personalities.
Still, an interesting point.