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Originally Posted by kacy
If you do add on the protection, you can never be suspended and everything you paid for the protection goes towards a dedicated server if you need to upgrade.
Just try it, you have nothing to lose. Anytime money back whenever you decided to cancel 
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Dunno about nakedhosting, but at certifiedhosting (probably the same company as they also have the $11 promo) you can add protection too, however, also this does not protect you the way as it could suggest to some noobs...
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WHEN DOES CERTIFIED PROTECTION KICK IN?
If your account is found to be using more than acceptable server resources, you will be notified and your account will be moved to a "holding server". This is a fully functional cpanel server with no more than four active accounts. You will be able to remain on the holding server for 15 days. During this time you will be working with our support team to determine the reason your website has high usage and together make necessary changes to your website so that it is able to go back to a shared shared hosting environment.
Note: There will be a short amount of downtime during the move from virtual server to holding server.
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So basically, if the problem is that you have just gotten too many visitors for this plan and thus use too many resources, you will still need to upgrade, and pay up. Your "insurance" money will be deducted but you still will need to pay extra, I don't really call that protection @4.95 / mnth
I always advice to go dedicated if you have an existing website with high traffic and go shared ONLY if your site has been recent or is to be set up