Hello,
Currently, the island settings allow disabling collisions between players (Player-to-Player / Player-to-NPC), but there’s no option to disable NPC-to-NPC collisions.
In my case, if collisions aren’t disabled, running into an NPC causes me to phase through it instead of having a proper collision like with other players. My workaround was to disable collisions entirely, which allows players and NPCs to pass through each other. However, NPCs still collide with other NPCs, which creates an inconsistent experience, some interactions are pass-through, others are blocked.
Adding an option to disable NPC-to-NPC collisions would solve this inconsistency, allow for more realistic NPC behavior, and open up greater creative possibilities for interactions and movement.