I agree with what you're saying, and some of this is also against our drafted new guidelines. While people have suggestions on the wording and implementation, those guideline proposals have been received positively
However this implementation doesn't really solve the problem effectively.
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your comment would also have been hidden, along with any comment that wants to discuss the issue or make the same point you are making (or a completely unrelated topic, see Scunthorpe problem)
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mods and admins are less likely to notice the obviously bad actors. So instead of those accounts getting banned and purged, they might still be posting harmful content or coded language that the filters don't pick up on and can't keep up with
Some words SHOULD get blanket banned, but we already have the admin level keyword blocklist for that.
Otherwise I think that a frontend is the wrong place for this functionality, and It should be handled by a proper automod or reporting tool/plugin