Your ISP is doing it wrong, which I guess you already know. I get a /64 net via DHCPv6 for my LAN which is pretty standard.
+1 to dual stack. Too much of the internet is v4 only, missing AAAA, or various other issues. I've also had weird issues where a Google/Nest speaker device would fail 50% of the time and other streaming devices act slow/funky. Now I know that means the V6 net is busted and usually I have to manually release/renew. Happens once every few months, but not in a predictable interval.
Security is different, but not worse IMO. It's just a firewall and router instead of a NAT being added in. A misconfigured firewall or enabling UPnP is still a bad idea with potentially worse consequences.
Privacy OTOH is worse. It used to be that each device included a hardware MAC as part of a statelessly generated address. They fixed that on most devices. Still, each device in your house may end up with a long lived (at least as long as your WAN lease time) unique IP that is exposed to whatever sites you visit. So instead of a unique IP per household with IPv4 and NAT, it's per network device. Tracking sites can differentiate multiple devices in the house across sites.
This has me thinking I need to investigate more on how often my device IPv6 (or WAN lease subnet) addresses change.