Yes I agree. 

Plus, something happening to all 3 is very unlikely. So if something happens to the HW, there’s the seed + pass backup, and if something happens to the seed, there’s the HW to help you recover the seed. 

 Yeah I forgot about the hardware itself.

For some HW devices it's possible to extract the seed from it, so without a pass phrase you have multiple ways of being owned (HW compromised, or paper / metal backup stolen).