Brilliant post. And yes. Not to shoot down the OP's suggestion. Perhaps there is a certain sense of lack of reward in dealing with peasant rebellions, but yes, prestige is a rather specific notion, and there isn't much of it to gain by quelling revolts.
HOWEVER, I guess some colour could be added to peasant/revolt affairs. For example quelling those revolts by force should not necessarily give you more peace in the realm. Quite the opposite, it could actually (random chance? specific scripting factors?) inspire more such revolts, making those peasants into martyrs or eventually turning peasant revolts into a more serious national (i.e. cultural) or religious revolt. Or spawning an event in which local nobles join and lead the war. This would be similar to what happened in real life in Flanders (vs France) around the time of the
Battle of the Golden Spurs.
By contrast, using your
diplomacy to talk the peasants into peace, using your
stewardship to actually improve their lot in life (get some laws to protect them, enforce such laws, get some stuff done to allow them to increase their wealth/alleviate their poverty), that would reduce the revolt risk properly.
... And this could eventually, like near the end of the timeframe, tie into concepts of representative monarchy with parliaments, basic liberties and all the Magna Carta jazz.