When I implemented password/passcode (both caused the same issue) and I entered a wrong password for the System blade I was notified of the incorrect entry then sent to the Extras blade and never prompted for a passcode again. My only option was to reboot.
Secondly, I have turned off (unchecked) all password/passcode options and I was prompted for a password/passcode *only* the first time I executed File Explorer. File Explorer was one of the areas I had chosen to secure.
Thirdly, I have a regular television

<whining & crying> and the small blade that pops-in from the right prompting for the password/passcode has its' text cut-off versus having its' text wrapped.
Lastly (is fourthly a word?), although I have unchecked all checkboxes in the Master Lock area, I am continuously prompted for a password/passcode when I access the Master Lock area itself. The password/passcode I had set is accepted when I am prompted.
I hope that submitting these issues help out in the end! I am going to re-enable security for the weekend when my nephews & nieces flood into my house!
P.S. Just an FYI - the only file-level modifications I have made to my install are bookmarks in the root .xml file. I made a few bookmark changes to the file itself and through the GUI.
Thanks for the great work and Cheers!
--adian