I've looked into cloud based services, but I'm still more comfortable with a physical back-up. I just connect it once a month when I do my back-up, and disconnect it afterwards. I guess that kind of back-up wouldn't work in the event of a disaster (fire, flood, etc.), as the back-up drive is in the same space as my PC. But it would work fine for recovery due to power surges or general unexpected PC shenanigans.
I've thought about getting a safe deposit box to keep my back-up drive in offsite.
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