The F-bomb

So I've definitely been in a few situations where I've been having a casual conversation with someone and they'll just say "fag" like it's no one's business, yet I can't say that I was particularly offended. I have a gay friend who doesn't fail to correct anyone who uses that word, but to me, it doesn't seem necessary. Anyway, I was just wondering what you all do when people say "fag/got" around you. Is there any correct way to handle this situation?

might I add that I'm not out yet, and people wouldn't guess.

I only say FAG to mock people who insist on filtering communication. censoring your ideas to remain politically correct is weak. "I'm not going to say anything that might make anybody mad at me or not like me because then i am cool with everybody and everybody likes me oh do i sound insecure?"

And gay people dont care. gay people who are out of the closet, dont give a flying fuck about the word FAG.
Its some of these humanist left-wingers that want to make the world "poitively-charged-emotionally" that piss me off.