Yes they have.They have made much improvements in v2 models.
However, when faced with a number of devices that needed replaced I had the option of 1) replacing my devices with newer V2's via the RMA process (IOW, SH would bear the brunt of the cost and I would just have to replace and reprogram the devices) or 2) finding a new technology and eating the entire cost.
In my own house, where my income would not be affected, I could not stick with Insteon. So if you are willing to bet your livelihood on Insteon, you have bigger onions than me.
In all fairness to SH if/once they fix the paddle issue and the switches turning on after a power failure things should settle down a bit. Until then I have to agree with you Herdfan.