Condition of hoses is part of a uk mot, any visible cracking is a fail as are excessively rust crimp ferrules.
Never seen a recomendation on hose change but fluid should be changed every 3ish years as it absorbs water
Yes the moisture absorbed is the problem.
Honda recommends 24 months of the brake fluid flush and bleed in the newer service manuals of today's bikes. Part of the recommended list is inspection of the hoses.
The moisture absorbed in the fluid causes damage unseen on the inside, long before the rubber cracks you end up seeing on the outside. That internal damage causes the rubber hoses to expand rather than getting the full push of the fluid pressure to the caliper piston to get you to stop. That is why the stainless steel brake hoses were developed and the huge difference in stopping power that is felt when changing the hoses to stainless steel.
And yes, even stainless steel brake hoses have rubber in them so they are flexible to route them where you want them to go. It's the outer stainless mesh that helps hold the rubber inside from expanding and loosing pressure to the pistons that makes your bike stop better.
And BTW, changing your hoses to New Old Stock rubber hoses is only good for display bikes, not rider bikes. They look good on the outside but will fail sooner than buying fresh new made hoses. Unfortunately there are no dates stamped in the hoses to know when they were manufactured like the date codes required on tires.......
I highly recommend yearly flush and bleed, especially if you live in high heat areas as that causes moisture buildup into the systems(brake and clutch), be it in hot sheds/garages, bikes stored outside under dark bike covers or out riding in the heat and rain. I've worked on goldwings at shops doing maintenance on them (and brought back to life long neglected, deep sleep goldwings and CB750s) and many owners fail miserably at keeping up on preventative maintenance like flushing the brake and clutch fluid often enough. I've seen thick gray sludge and even deep redish brown sludge built-up in the reservoir of many master cylinders and that sludge travels down into the calipers (and slave cylinders) getting in behind the seals in the seal grooves causing leaks of the fluid and the pistons to stick. I've even found crusty dried brake fluid that resembles brown sugar in the reservoir and hoses/hard brake lines in the deep sleep bikes I've worked on.