Say you get slashed in the arm, you can't do as much damage or block as much with that arm, so you're forced to switch hands for defense and offense. or you get slashed in the leg, and you can't sprint, and you limp. just until you use healing potions or spells :P so it would probably be combat-only oriented.
I wouldn't mind it, but I'm not sure how meaningful its inclusion would be, since people in Tamriel can magically heal themselves with little real cost. In New Vegas you needed a particular item, which wasn't always easy to come by, and you didn't always have on you; in Elder Scrolls, you always have magic "on you".
So you'd just be like, Oh, my arm is broken? Healed.