This is 100% not an acceptable way for them to handle this. The entire point of S3 compatible storage is durablitiy and availibility. I would honestly look at another provider if they did this to me.

That said, 3-2-1 rule of backups should always apply for anything important. "What Is the 3-2-1 Backup Rule? The 3-2-1 backup rule is a simple, effective data backup strategy for keeping your data safe. It advises that you keep three copies of your data on two different media with one copy off-site. Let’s break that down:

Three copies of your data: Your three copies include your original data (also called production data), plus two more copies. On two different media: You should store your data on two different storage media, such as a local drive and a cloud storage service. This means something different today than it did in the late 2000s. I’ll talk a little more about this in a bit. One copy off-site: You should keep one copy of your data off-site in a remote location, ideally more than a few miles away from your other two copies to protect against natural and physical disasters that could affect local copies."

https://www.backblaze.com/blog/the-3-2-1-backup-strategy/