This is a good reminder.
Most people (myself included) never read the privacy policy. It doesnt surprise me though that they collect and store all kinds of information, these days I assume that they all do.
The only safe wallets are private wallets I think.
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MEW is also a safe option if you follow their directions for protecting yourself and making sure you're on the legitimate site.
Yeah. It was my first ether wallet and I still use it.
I still feel more comfortable with a private wallet though, probably because I just don't fully understand the technical aspects of all of this yet.
Now I'm going to have to test MEW :p