That's one of the "selling points" made by the big corporations when encountering people thinking of self-hosting. Not everyone wants to deal with the hassle of self-hosting, but I strongly believe this "hassle-free" approach is causing people never to question who truly owns their data.
The beauty of self-hosting is that you decide the level of security and redundancy. Depending on your comfort level, budget, and the risk factors in your geographical location, you can select the setup that makes the most sense for you.
In my case, I live in Florida, so the likelihood of a hurricane is high (potential for water and wind damage). However, Florida is large and my parents live in a different town about 3 hours away, so I can have a NAS at my parents and my server at my place.
You can have local backups like in a RAID set up for your drives (in case the physical drive goes bad) and then have a redundant NAS located at someone else's house in your family (parents/kids/best friend).
If I wanted to be extremely secure, I could set up a NAS at my brother's house in Seattle across the country.
Ultimately, what you start realizing when you self-host is just how much of what you think is digitally "yours" actually isn't.
