I'm with you on the needing to be more 'fun' part. Water combat comes up a lot when a mech standing in water falls over. So even in 3025 it happens all the time, cause you want those leg mounted heat sinks to work overtime, and you want partial cover.
The actual breach rules, flooding, PSRs for every square of movement, and reduced ranges on most things makes underwater combat a slog though. It makes you roll lots of extra dice, looking for very low odds things like breaches on 10+s and falls on 4-s. Its also pretty short ranged, and the torpedoes are either SRTs which really cause a lot of rolls, or LRTs which, thanks to the massive speed reduction and range reduction, are too punishing if the other side doesn't have them. Its rocket tag, but not the fun fast paced frenzy kind like in quake.