I agree. The model 110 has a metal bowl if I remember correctly and you can't see if there is water inside. Replace with a larger filter with a plastic bowl and a hand-operable drain fitting. While you are at it, choose a Racor that uses easily available and less expensive filters. I chose a model 215 and the filters are not common and are $25+ each. In retrospect I could have made a better choice.I would suggest getting a larger water seperator racor. Maybe a 120 or larger.
My OEM filter was a 110 and it was not in the engine compartment. But your point is well taken.If the PO got the optional metal bowl option it is probably because the filter is in the engine compartment. DO NOT use the plastic bowl if the filter is in the engine compartment as it tends to get soft with the heat and leak. the instruction manual speaks of such warnings