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I thought the previous film by the same director that did Midsommar (Ari Aster) was pretty good, Hereditary.
From somewhat recent memory I also enjoyed Get Out and The Menu.
I should add that none of these are from the body-horror subgenre though. A good one I think would be maybe Martyrs?
David Cronenburg's the fly and John Carpenter's the thing have body horror as a main component, they also have a really good story to go long with it. 
Same goes for Junji Ito's horror manga Uzumaki, along with various other works of his. 
Different people are more sensitive to different aspects of horror. For instance, I've never found ghost movies particularly scary. 
In my opinion horror doesn't get much more lazy than paranormal activity, but I'm not going to dismiss the entire subgenre just because of that. Especially when there are movies like the exorcist out there.
I think that some of the "appeal" of body horror is the fear of physical pain and the loss of physical functions, the thought of trying to live and survive with permanent damage done to your body that can't be undone.
The main reason that people watch horror is out of morbid curiosity, different people are more curious about different things is all.
Actually re-reading the post, what op is describing sounds more specifically like the "gore" subgenre rather than general body horror. >


In my opinion horror doesn't get much more lazy than paranormal activity

You mean you don't get scared when a cross flies across the room accompanied by a loud noise? >

Midsommer was using the atmosphere to scare you, the body horror just added towards that in a few scenes. 
I think it’s a useful tool for horror movies to use if it’s done tastefully and has the right context. I mean horror is meant to scare and unnerve you, why wouldn’t you utilize something that gives the user such a primal response. >

I literally grew up watching horror movies and I very much agree. It’s pointless and lazy. If you’re not a doctor or such, I just can’t imagine why you’d enjoy looking at bones or guts and such. It’s not horror just because it’s disgusting. >

Hell, even if you are a doctor and you actually enjoy looking at that stuff, I don't want you anywhere near me, especially with medical instruments nearby. >

People enjoying macabre yet genuinely harmless entertainment is not in any way, shape or form a sign of them being sociopathic monsters. Grow up, please. >

Geoss things can be interesting like alien and the thing. >

What about hellraiser and berzerk then ? I think it juste adds crude truth to the cruelty behind the story and lore. >

For real this is exactly how I felt about the terrifier movies. I was told it was a horror movie and was disappointed to see it was just a gore fest. >

Those films are crap though. >

A lot of people like the new one. >

I don't doubt that. I still think both films are terrible, that's all. There's hardly any story in them, and the story that is in there doesn't make much sense. >

I would agree with you there. I actually didn’t mind midsommar unlike OP. Now would I ever watch it again? No, and would I be a little upset if I paid to see it, probably. I was ok with it because i streamed it.
Do you have any movie recommendations for someone just getting into such movies?