If the threat model does not include info-stealers (and instead includes only phishing and in general getting passwords/codes intercepted, getting a website with bad security compromised etc) then having the TOTPs in the same device does not really increase risk.
Imo in the first case, one should probably not have the passwords on the phone either. Use a phone for the OTPs and computer for the passwords for example. But that is very impractical and carries increased risk of (temporarily) not being able to access stuff in certain situations. It could be a good thing depending on what one wants to guard themselves against. If your goal is to have better security than most people, using a good password manager that is not a browser and 2FAs is as many services as possible already carries you very far. If you due to work etc you have increased risk of being targeted, prob more is needed.
