The point is for auto-identification, obviously. Lol. I haven't really tested it, but the dialog itself is neat and well organized. It has an auto-ID on connect option as well as options to turn off auto-ID for specific nicknames. I would test it but I can't really be arsed changing my passwords to ~8 characters, as the dialog doesn't support my 28 character NS password. xD I haven't ever tinkered with dialogs myself, so I can't readily edit the issue. :p
7/10 from me. It's useful for those with various nicknames and don't really feel like typing their pass (or using an alias as I do).