Perhaps I’ve been lucky with my clients! I’ve been offering web hosting services for some years now without (most) of the problems you describe.

I appreciate that it can add extra stress at times, particularly if there is a support request when you’re working on a project with a tight deadline – however I’ve managed to find a great web host that have excellent uptime and support, which takes the hassle away from me.

I don’t host as many sites as I used to, however I find my clients (particularly non-techy ones) appreciate the extra services, and perhaps it even gives them more confidence in my abilities (as a web designer/developer).

I do agree that it can add a lot of extra work and stress unless managed correctly though.