I'd argue that better diversity/inclusion/representation does not have to be something tacked on at the expense of good storytelling. Quite the opposite, in fact. Yeah, you do get the odd exercise in blatant box-ticking. But in my (considerable*) experience, that's the exception, not the rule.
I'm a big reader of SF and fantasy, two genres that have shown a massive uptick in quality in recent years, with fewer authors churning out replica novels that put the Generic Male Protagonist through the Generic Male Protagonist Plot Beats. With more awareness of the history of gender, sexuality, race etc, current SF/Fantasy writers are coming up with far more interesting and original settings, plots and concepts. Put simply, expanding the variety of characters you can write properly is a boost to both realism and imagination. Going back a bit further, for my money the most original of Ursula le Guin's Earthsea books were the two that featured Tenar as the protagonist- as a child priestess in "The Tombs of Atuan", and as a middle-aged, widowed farmer in "Tehanu." Those two novels tackled subject matter which must previously have seemed utterly off-limits to the genre.
*One of my current dilemmas is finding room in my home for a twelfth bookcase....
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