".....More concerning is that they are even scanning the databases... that does mean they're checking through all user data.............. I personally think it's wrong that they do this. Albeit a robot that does it..."
Given the current move towards extensive web censorship by the Government, and the consequent legal impact on any site which is held to be in breach, I can see why your web host does this. They could well be following Government direction to do it. They may also be required to secretly report any suspicions they have, like the 'Prevent Duty' for schools. See
https://www.gov.uk/government/publications/protecting-children-from-radicalisation-the-prevent-duty
False positives from this are going to be fun...
"....If spam is in the database, it's pretty harmless unless it's executed on the website and there are measures in place to prevent code from being surfaced...."
I wouldn't think of Spam as being executable - if it is I would count that as Malicious Software, and I would have a policy of removing it to a safe repository immediately. And telling the Webmaster...
There is a balance to be attained between being fairly safe from Web attacks, and being able to operate with minimum disruption. It is up to your host's security team to define and maintain that balance, and they really ought to gain customer agreement and involvement in how they do that.