Hopefully this'll get sorted out.
I'm operating on the assumption that this is technical, not because of a TOS violation.
I backup once a month, and I always archive my RSS feed to a gmail account, so it's going to suck if I have to switch blog hosts but it isn't the end of the world.
If this isn't a TOS violation and I get reinstated I'm definitely going to be scheduling daily backups of my WXR file.
This is a good argument for creating a second admin account as well -- although I don't know if when an account suspension happens it happens to every author on a blog. (I'm a guest blogger on Lorelle's blog so our accounts are tied that way).