Q. Does one or his children, especially when travelling and in a hotel, have to be dressed properly in front of he lit Menorah? Can one have marital relations when facing it?
A. Remah (O.H. 275: 12) regarding Shabbos candles rules that one should cover naked young children that are in front of the candles because of ‘Bizui Mitzva’ or the shame and disgrace of the mitzva lights. The same applies to other mitzva lights such as Havdala and Chanuka candles. (Lebush, Tosefes Shabbos 16, Piskei Teshuvos 275: 4).
As far as marital relations one can’t have them in a lit room or in front of any light.
Horav Aharon Miller Shlit’a pointed out that many seforim including the ones of Chabad stress that those holy ligths of Chanuka, have to be approached and addressed with much honor and great respect. Not only for the symbolism they have as utensils of the Beis Hamikdosh, but also for the great Nissim, miracles of salvation and heroism they represent.
Rabbi A. Bartfeld as revised by, Horav Dovid Pam, Horav Aharon Miller, Horav Chanoch Ehrentreu and Horav Kalman Ochs Shlit'a