I believe so? A domain can not get renewed for many reasons - such as the death of the registrant. The domain can then get reregistered and the email addresses effectively "hijacked", leading to impersonation of the original owners.
A reliable email provider with a policy of never recycling an email address would mean that scenario wont happen. Obviously they can change policy, but if that happens while I am able then obviously I can inform everyone to migrate to a new email then.
This is an attempt to protect against a legitimate security concern.