"You, I, we all encounter behaviors that we might say, I wouldn't do that. But she has a huge amount of contact with how people live. She sees more hospices and sink estates than most people"

Prince Andrew is referring to the Queen's role as an emperor and her capability to observe the lives of people from all strolls of life. He is recommending that the Queen has a distinct perspective on life, as she has seen more of the challenges and battles of individuals than most people. He is indicating that the Queen has a higher understanding of the world and individuals in it, which she is able to empathize with people in a manner that the majority of people can not. He is also suggesting that the Queen has a greater capability for understanding and empathy, as she has actually seen more of the world than the majority of people. He is suggesting that the Queen has a distinct insight into the lives of individuals, and that she has the ability to understand and value the struggles of individuals in a manner that many people can not.