So after thinking about it more I think I will change the hit scan to look for a “ground” collision layer. I will repurpose the Teleport Occlusion Layer since it wont be needed anymore. This should solve all the issues but will require more setup when designing a level.
BTW, Version 1.1 will be out Friday November 3, 2017 for customers. I will send it to epic that day as well and MP customers will get the update as soon as epic posts it. This will also serve as the 4.18 release of weapon master vr for MP users.