The split will be covered, but that point will always be a weak spot and dangerous. Modern arboriculture recommends removal/pruning when damage like that occurs. It's appropriate for historic or sentimental specimen trees, within safety concerns.
Having said that, we have several large Jacaranda trees that have both cabling and braces in/on them. Major branches that still might be a safety hazard have been removed while less dangerous ones remain. Whenever our treecare contractor works on trees with known or potential metal pieces are notified and very careful about where they cut. Mangled chainsaws and flying metal are to be avoided whenever possible.
I have the same reaction to embedded stakes and ties. Drives me nuts!
