It's fortunate that you can simply choose not to identify with that particular insult, but what about people who do identify as homosexual? Or who are genderqueer?
Edit: Why does this matter? It's just especially shitty and dehumanizing when you identify as something that is seen as culturally acceptable to debase. Privilege is being able to dismiss things with "Hah! That's ridiculous! I'm not a Foo," which still allows room for and/or even implies the denigration of Foos.
That's not to say you should deviate from your fuck-the-haters approach. It's great that you and your mother have sufficiently thick skin to forge ahead in spite of ill-informed discrimination, but not everyone has the same fortitude. The cultural norms we establish can go a long way toward creating a better context for everyone.