Squarespace is a website builder and hosting provider that offers a free domain with hosting plans. Its $12/month Personal plan comes with unlimited storage and a drag-and-drop builder. Its $18/month Business plan further offers email, analytics, and payment processing with a 3% transaction fee. Its industry-specific templates make it best for time-strapped companies that need to choose a template quickly, and then add information for a professional design.
I recommend the OP remove 1 & 1 from this as well. I had a nearly similar experience with them, and I didn’t even use them for web hosting. While you are right in what happens with expiration, it is worth noting that 1&1 makes it as difficult as possible to transfer and *will* keep your domain after it expires. Once you’re in, you’re stuck and you’re at their mercy.
That said, not all web hosts offer email. WP Engine, for example, does not. In such instances, you must email accounts from a company other than your web host. GoDaddy, for instance, sells email packages starting at $3.49 per user, per month. That might sound like a hassle, and just one more thing to keep track of, but there are actually some webmasters who feel that separating your email hosting and web hosting services is smart. That way, one provider going offline won't completely bork your business.
One thing we learned in reviewing the services listed here (and many more) is that even though the packages are very similar, they are not identical. Some are more security-focused than others, offering anti-spam and anti-malware tools. Others offer a variety of email marketing tools. While most of the hosts we've reviewed have built-in e-commerce, you may want to consider using a more-robust third-party online shopping cart application like Shopify instead.