>Your login password is (supposed to be) the key material for the encryption, which is stored off-device, preferably in your head.
This is referencing the Touch Bar repair which means that the user has encrypted their drive with Touch ID. The only reason any repair would be harder is because the Touch ID sensor is paired to the secure enclave. The same goes for the SSD. Without the key, as you stated, you shouldn't be able to access the data so I don't see how that's any different than "having a data recovery mechanism". A data recovery mechanism shouldn't exist if you don't have the proper keys.
This is referencing the Touch Bar repair which means that the user has encrypted their drive with Touch ID. The only reason any repair would be harder is because the Touch ID sensor is paired to the secure enclave. The same goes for the SSD. Without the key, as you stated, you shouldn't be able to access the data so I don't see how that's any different than "having a data recovery mechanism". A data recovery mechanism shouldn't exist if you don't have the proper keys.