It’s not that inbreeding directly causes deformity, it just creates a larger chance of you getting a disease that causes deformity.
Diseases evolve all the time, that’s why you need a flu shot every year or so. Along with that, having genetic diversity (very unrelated people having offspring) creates a greater chance to spread a gene that makes you less susceptible to disease. If you keep having offspring with someone who has the same genes you sort of keep your lineage from receiving these helpful genes.
We basically have to keep up with evolving diseases in this way. The same applies to most animals.
Latest Answers