It’s like when someone uses the F word around my kids. I don’t take offense to the F word even though I don’t like it. But i make a point to say something when i want to stand up for those around me, especially when it involves my kids.
I think the same applies to you in this situation. You said you don’t necessarily take offense to the R word. But there were definitely those around you who would be hurt by that word.
Totally appropriate in that situation to ask them to not use that word.