What you need to worry about being tightly integrated with Apple is not a hacker getting your data - it is being stuck with you or your surviving family not having access to your own data. This is my primary worry about walled gardens such as Apple or Google where you could be locked out of your own data because, you know, you looked at your phone the wrong way.
In this instance, you are better of relying on someone whose primary business is to save passwords. They are more likely to have thought about this.
For example, 1Password, explicitly offer an emergency kit[1] for your surviving family should something bad happen to you.
They also used to have a zero-install reader called 1Password Anywhere, but that seems to have been discontinued.
This is a good concern, and one I mitigate by keeping a file with trusted people that is to be used in case of my death.
I think I’m better off relying on Apple’s business of protecting my identity (and selling me more apps, music, phones). And the effort spent on this by Apple is likely better than the primary purpose of a much smaller company. I also don’t think the incentives for a password as a service company that makes money off a monthly fee are lined up with mine. In time, I think they will only get worse as they layer on “features” to grow revenue from a fixed, and shrinking, market.
If you’re worried less about hackers and more about big brother, such as crossing borders, they also have a Travel mode that drops from your devices any password vaults not marked safe for Travel. Then toggle them back on after you don’t consider yourself or your data subject to inspection.
In this instance, you are better of relying on someone whose primary business is to save passwords. They are more likely to have thought about this.
For example, 1Password, explicitly offer an emergency kit[1] for your surviving family should something bad happen to you. They also used to have a zero-install reader called 1Password Anywhere, but that seems to have been discontinued.
[1] https://support.1password.com/emergency-kit/