Yes, tummy time can include being held on the stomach. A lot of manufacturers make people believe it has to be on the floor with the numerous tummy time toys they try and push onto parents.
It's restraining babies in car seats, rockers, laying flat on their backs that can cause the issues.
But I must admit, I've never seen Karma out of their arms. I think they might be Attachment Parenting but not openly discussing it.
You have it exactly. I think they have the attachment parenting style. I guess each to their own and there's pros and cons to her being held all the time. She's a cutie pie though isn't she. Shame she's been born into this circus.