Having converted my Denford Starturn 8 CNC lathe from NEMA 34 to a 24 sized closed loop stepper system, there is no way that I would go back to a conventional stepper setup.
I find many improvements, such as faster top speed, the system is far smoother with virtually no mid-band vibration and has better acceleration & deceleration, which is vital if your lathe varies its speed when a heavy cut is applied or removed. Also, if steps are missed such that the closed loop can not recover the situation, then a fault condition will cause the driver to halt and send a fault signal back to the ELS (if it has such a facility to acknowledge) or the CNC controller.
I couldn't personally live with the idea of lost steps being acceptable, even if only a few, because that would certainly not work when we're talking about repeatable work, particularly on diameter with a CNC lathe.
It's good to know your machine is maintaining correct position and will do so all day. It gives peace of mind compared to my previous experience whereby there was an uncertainty about parts reliably coming out to size.
Martin.