I'd also like to see the ability to add Alt Text to background images. After doing an SEO audit for a client's website, I'm now implementing all the recommended changes I made and have just come across the issue of not being able to add Alt Text to some of their images and now it's going to be embarrassing going back to them saying I'm not able to do some of the accessibility issues I harped on about!
After reading someone else's comment about Squarespace not moderating forum chats, I've sent them a request for this functionality via email. Hopefully they come back to me with either a workaround or let us know it's on their product roadmap...fingers crossed!