That is simply not true. I have used a variety of hosting companies and none of them have asked for any document information. At worst they just ask you for your name and address so that they can put it in your invoice.
For certain providers like e.g. Netcup you also need to add a phone number and they do a quick check-up if you're a real person. Sounds a bit strange at first, but their servers are top notch, so its worth the hustle imo.
Nope, didn't use that protection service yet. All I did was buying their cheap root/vps servers to run a few blockchain nodes.
If you check those other features, please leave a small review, if its worth it.