Are there plans to incorporating reverse engineering and object generation directly in Vertabelo via live connections to databases

There is a command-line Vertabelo reverse engineering tool which connects to your database and dumps model as an XML file. You can find details here: http://www.vertabelo.com/blog/documentation/reverse-engineering

As to connecting to a database from the browser, we don't plan to add this feature in the nearest months. I will keep the issue open so that other users can upvote and comment on this feature.

This would be a hugely valuable feature for us. Reverse engineering directly via a database connection would make it much easier to get the initial model setup. Connecting to a database catalog, identifying deltas and then creating a change script is possible the single most valuable feature I've found in other modeling tools.