My school as far as I know does not do anything like this. We always use standardized patients.
BUT, we are tested over our clinical skills while only seeing a standardized patient for each type of exam once. SO, many of my classmates got in small groups of a few guys and a few girls (usually good friends) and practiced the clinical exams in someones apartment. Guys usually just went shirtless for practice. As for the females in the groups depending on what was being examined, it would be under shirt over bra, shirtless w/ bra, or topless but draped with a towel. No who-has or wee-wees for anyody though 😉
Just have to be mature about it.
Also concerning the "Hooking up with classmates thread," Doing a practice physical exam on a classmate is alot easier is you have already seen her breasteseses. Less likely to be distracted if you've already seen them.