I was asked what would make such things in games okay for me personally, and thinking on it?

Make it optional.

Solves both the "awkward if someone walks into the room" and "I'd like to share screenshots" option.

It also just makes sense to have in an age of promotion via let's plays and streaming, so it's not just a "this would make Dan happy" thing (though, obviously, that should be the primary concern of all developers).

Granted, the context of such moments could still be awkward, but I'm not really interested in playing and/or sharing screenshots of moments that would be, so... No difference to me.

And YEAH default to off. I think Cyberpunk 2077 has these sort of options, except I THINK it defaulted to on? My memories of trying it are so vague. I basically played through some of the opening, didn't feel invested in any part of it, and never went back to.

I can be like that with games. If you're a game that "gets good" ten hours in, we're going to have a problem.