I'm stuck on a traditional DSL line, so my latency is pretty terrible in a lot of online games. Is lag handled well in this game? Or will my shots not register if my ping is high?

I have 1mb connection and have had zero problems. Been as smooth as a single player game.

I see some lag in confirming kills in the PvE areas. I've never seen lag that seemed to be any more broken than any other multiplayer game in PvP - negotiating who "really" got the authoritative view of events when people can be 100ms disconnected from reality isn't a trivial thing to solve but games seem to generally handle it ok. This is on PC, which didn't have server-side checks in beta but that led to cheating.

I think it's running (in PvE) from the client's perspective and then the server just is there to sanity check it. So you get the shots off and the angles you saw happen but then the server has to just make sure what you did a reasonable for the "real" model of what it thinks the world looks like and then the confirm applies the kill-shot. Like, 99.99% of the time a shot feels instantaneous. Once every hour or two then (I'm a sniper so single shots are normally fatal headhots while I'm playing as most enemies aren't Elites and I aim to spec/gear so my typical headshot is about 25% more damage than the normal mob health pool) I'll get a shot that seems to connect but then a moment later the actual effects happen and the AI drops. That's definitely server lag. But it's not something I've seen much of yet and we can't really talk about hours spent in the beta because none of these checks existed in that version - if your client said you did a million damage to that target, the server applied the million dmg and killed the AI. This led to issues.

It seems very similar to Destiny, I'll hop into a coop mission and the first handful of minutes my shots don't show damage numbers but the damage will at least come off. It's never gotten so bad that the hits don't register at least. It usually catches up after that handful of minutes, and that was probably just because of launch day server loads. If you have even a decent connection I can't see much of a problem with it...