But at the very least with hardware wallet it won't be too much hassle, some of the hardware wallets provider also sell a bundled package with steel plate to store your seed phrase where you can store it elsewhere.
The solution is already there and as more and more people become experienced with self custody
Yes, the solution is already there.
You just have to plan it well and how it will be given in case that life takes you away from this world. So, getting your most loved involved to how in accessing and keeping safe your wallets could be done when you're already feeling that it's not going to take any longer for you.
we'll see the case where people losing their key just because they don't back up become significantly less.
It's still about how these people give value and importance to their assets. Not all that owns a Bitcoin are already keeping it well on a storage like hardware wallets where it's safer in the sense and proven by the many of us.