I played a lot of SWTOR once upon a time (and a little recently). I enjoy it for what it is, but it happens to have one of my most annoying cases of skimpy armor I can remember.playing SWTOR and it's not bad in general (so far) but the female running animation is lol
Armor modes in that game work by having a bunch of different texture areas and 3d parts checked to display or not based on wearer. It's practical for things like Twileks when it comes to wearing hooded chest pieces and such, or to not display the good with most helmets etc.
In the case of a lot of the skimpy armor in the base game, the skimpy version that female characters were forced to use just unchecked certain areas to make it look like a bra or cutoff or whatever. The actual full model already worked on all the female body types, it just wasn't available for players to use. You used to be able to trick the preview window into showing you full version for most of these items and they looked and worked fine.