Yes. It's a dynamic effect that is finally making its way to most modern games. In older games, when an enemy fell to the floor, his body would always end up in the same position which resulted in one of his many ligaments going through a wall or object slightly. With a rag doll effect, when an arm hits a door or wall, it doesn't go through it, but will instead be effected by the door or wall and will bend realistically. Matroid Prime is one of the games I know that has this feature.