The APPLE recommends to generate a password whenever a new app (email app) is to be installed. This is laborious and not to be insisted. Google(gmail), Microsoft(outlook) and yahoo mail do not insist a separate password.

The point with App specific passwords is to keep third party apps, which store at least some data in iCloud, from ever knowing or storing your AppleID password. So there is a point to it, unless you don’t mind Google, Microsoft and other’s apps from potentially knowing and storing your AppleID password?

Apple doesn’t routinely monitor the discussions. These are mostly user to user discussions.

If you want to, you can send Apple feedback. They won't answer, but at least will know there is a problem or a suggestion for change. If enough people send feedback, it may get the problem/suggested change solved sooner. Pick the closest topic you can find.

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