The assumption you're making with most of your points is that, currently, data is only safe from governments/hackers because its not readily available to users, and for some reason it being not easily accessible by users means its safer (correct me if I'm reading what you're saying wrong).
I don't think making the data more available to users means it's now inherently less safe - actually, it could be argued that having all the data in one place makes it easier to protect ('Keep all your eggs in one basket, and put that basket in Fort Knox'). Additionally, if PII isn't stored securely enough, as it should, and that data gets breached, the company is at fault - again, which it should. Making these companies more liable incentivises them to take their security more seriously, which I think is good.
(I also trust my government, but that's a separate argument)