As a very simple solution, I like the Seagate Replica. It will backup your entire system. If your computer hard drive fails you can put in another drive of equal or larger size and get back to where you were. It works in the background to boot. Seagate may not be selling this anymore but the backup software was from Rebit so you could buy any USB external drive and still use the software. Here is a link to an article on Tom's Hardware about the Replica. http://www.tomshardware.com/reviews/hdd-backup-recovery,2450.html
Use *all* of your options, and make sure that at least one copy is physically transported off-site.
We also use Carbonite, and can testify that their cloud service genuinely saved our butts after a disaster.