Aye, for ingame stuff where they want to make as much gear as quickly as possible to fill the dungeons with loot no one needs, clipping is acceptable, I don't see much point in development time being spent to make sure Armour Of The Divine Holy Hero Of The Northern Tree Hugging Collective has a tail exit. For specific glamour gear though, whose only point in being is for glamour, it needs to, ya know, not suck badly on 40% of the races.

According to the last census, 33/34% of players had a tail, of the top 3 races chosen, 2 and 3 were kitties, at the next census we may find that tailed players are in the majority (they were drawn with Hyur last time, total number), yet gear which is designed purely to look good, looks bloody awful if you have a tail.