I always fail to understand why this makes people upset when it is so widely know that the policy is there is no policy and regular human behavior will sort itself on this. If someone becomes overly irate (whether the seat saver or the open seat civil rightist) they will be shown the exit.
I took a flight last week in which I boarded A16, my SIL was A57, my wife A59, my 6yo B2 and my 66 yo mother B27. I boarded, made my way to row 21, explained to the FA that I understood the policy but would like for our group to sit as closely together as possible. We didn't take an exit row, if someone had demanded a certain seat we would have reshuffled, and politely informing the flight attendant let her help people move along to other, just as preferable seats.
I think it is ok to save seats, but not premium ones. And if someone asks for the seat, you should have plan B in mind. Again, normal human behavior should prevail. Blocking the first row or the exit rows... not normal. Boarding as a preboarder and sitting in preferred seats... not normal. Getting mad when a family is trying to sit together... nor normal. Becoming irate when someone wants the middle seat you were hoping to be empty... not normal.
Southwest has a perfect policy on this. We don't need rules prescribing every detail of life because certain people just cannot follow basic treatment of others.