Does Elastic Beanstalk automatically create a new instance and fail-over if an instance fails?

I have several EB clusters, with capacity scaling based on CPU usage. For each cluster, the idle state is just 1 instance, and it will scale-up from there based on load.

But what about if an instance fails? Say that 1 instance above has some hardware or network fault, and the load balancer can't communicate with it? Will EB automatically spin-up a new instance and direct traffic to it?

And secondly, when creating a new instance, either due to load or in this fault scenario, does EB always choose a different Availability Zone, in order to maximize resilience? Or, do I have to specifically set the "Availability Zones" setting to something other than "Any" or "Any 1"?

Btw, I know that for the ultimate fault-tolerance, we should always have N+1 instances spread across zones... but I'm specifically asking about the scenario above when the minimum instances is 1.

Thank you.