You're absolutely right. And one of my students, in whose class I'd given a little rant rather similar to what I've written above, actually lost a grandparent, and I felt AWFUL. Anyone who knows you as a student would find it hard not to believe you were sincere. And I know if I lost one of my dogs I'd probably have to take at least a couple of days off work (and I think the FIRST of the dead dog stories was genuine - it was the "taking advantage" ones that made me cross)
It's the crying wolf ones that make it hard for honest students, just as plagiarism makes us more suspicious of good work in everyone (don't get me started on that one...) But all of them show an edge of desparation that is often pitiable (not always, but often).