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FSD and reduced driver nag?

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Seriously, I respectfully disagree and vote for hand on wheel. It's more important that you can immediately steer.
In 2 years I've had 2 sideswipe attempts where I had a fraction of a second to pull away.

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Really glad I've settled into a habit of the right hand at 3 o'clock, resting on my little 3 oz (100g) counterweight. Just paying attention is not enough. A small counterweight can make normal movement of the hand on the wheel usually enough to clear the nag, no need to jerk, but doesn't block it. The way some people hold the wheel is good enough for them. The nag comes up at appropriate times, and trust me, they know what they're doing. You wouldn't want to defeat it or rely on a camera system deciding you're paying attention enough. You could be paying attention plenty with your hands up your behind.

No idea what's going on with @Petermcg's car, maybe his wheel alignment is skewed.
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I hear what your saying, and maybe the proper solution lies somewhere in the middle. But I have "hung" may hand across the T shape of the steering wheel and avoided getting a nag for hours. This doesn't mean I wasn't paying attention, but i certainly could have been focusing on anything other than the road and not have been nagged by the system. Likewise, many have added such counter weights as you have mentioned, to avoid getting nags and also avoid having to keep their hands on the wheel, just to have the feel of full autonomy for a brief moment of time. Maybe the camera could ensure one hand on the wheel and eyes on the road at the same time?