News to me! Where is this option described, ideally by Signal itself?
If you are alleging that Apple's own local Finder/Itunes backup of an iPhone includes Signal messages, that's not true, against reasonable user expectations, by Signal's own design choices.
Anyone who's counting on such local backups to save their histories is in for the same rude surprise I and many others have hit unaware:
This uses the same protocol as macOS, so same outcome. However (not sure if it helps in this case), keep in mind that different data is retained depending on whether the backup is encrypted or not (the tool supports encrypted backups too). So maybe check with encryption enabled and see if it carries over Signal messages?