Yes, a hardware wallet will be considered safer up until we cannot trust the manufacturer anymore. A paper wallet, while also isolated from any sort of device on its own, loses the upper hand as soon as you require spending the funds since it requires importing your key onto a computer (a computer that might be compromised). A Hardware wallet on the other hand can be used even on a compromised computer without having to worry due to it having its own operating system.
For long term storage the paper wallet is likely the better option due to it being free and requiring no investment. You are right that a hardware wallet is much better for those requiring regular access to their coins. This is especially relevant to those that trade daily.
But if you only access it now and then a paper wallet can be generated again within 5 minutes. It all depends on whether you want to make the investment for the benefits of accessing your coins regularly and securely.