I just want to know what settings if I want two organic objects to deform like skin upon contact.
You won’t find your answer here because you asked the question in the wrong section. Your most likely answer will be creating a shape key on the mesh and create a driver. Next, assign a bone to the driver to get what you need.
But deformations are only calculated when I animate something, how could it not belong here?
Because this is a thread for animations that are complete or a work in progress. What you asked here was how to create a simulation/animation that has nothing to show progress. There is another animation thread here in the forums that you can ask questions like that.
Why wouldn’t some moderator just move it to the right section then? It also doesn’t help that there’s 2 sections with the same name.
Well, they do have other lives to live. They will come around when the time comes. Actually, it does help to have two of them in order to short things out from things that are almost finished to those that need trouble shooting.