While we wait for word from Microsoft, the below workarounds have proved legitimate. Option #4 has worked for many of us that had the same problem as you.
Option 1: Remove "Modern Standby" features and create a new (non-balanced) power plan:
Open the Registry Editor and navigate to "HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Power".
Change the "CsEnabled" value from '1' to '0'. Click OK and restart the Surface Pro.
Create a new power plan using one of the newly available plan options. (I chose "High performance" and didn't bother changing any of its settings.)
Option 2: Change the display drivers to the Microsoft Basic Display Adapter:
Open the Device Manager.
Expand "Display Adapters".
Right-click on "Intel(R) Iris(R) Plus Graphics" and select "Update driver".
Choose "Browse my computer for driver software".
Choose "Let me pick from a list of available drivers on my computer".
Select "Microsoft Basic Display Adapter" and click Next to install the drivers.
Option 3: Update the display drivers to the latest version (from Intel, not Microsoft):
Download the latest display drivers from Intel as a ZIP file: https://downloadcenter.intel.com/download/29426/Intel-Graphics-Windows-10-DCH-Drivers
Extract the files from the ZIP file to a local folder.
Open the Device Manager.
Expand "Display Adapters".
Right-click on "Intel(R) Iris(R) Plus Graphics" and select "Update driver".
Choose "Browse my computer for driver software".
Choose "Let me pick from a list of available drivers on my computer".
Select the "Have Disk" button and browse to the folder containing the extracted files.
In the "Graphics" subfolder, select the file "iigd_dch.inf" and click OK.
Click Next to install the latest Iris Plus drivers. (This also installs the Intel Graphics Command Center application by default.)
Before posting anything, I wanted to wait until I had time to test each of these "solutions" on multiple Surface Pro 7 devices. They all seemed to work, but obviously each comes with their own pros and cons:
Pros: Stops the crashing...
Cons: Requires registry changes and reboots. Removes quality of life features: quick wake from sleep and battery power settings.
Pros: Easiest to implement and fastest way to stop the crashing.
Cons: Initially changes display settings (display scaling primarily). Removes color profile switching and possible GPU benefits.
Pros: Official drivers don't remove any features. Includes several months of potential bug fixes versus Microsoft's current version.
Cons: Goes against official Microsoft recommendations. Unsure how Windows Update will handle driver updates in the future.
Then, while I was still testing, user 'rfh2001' posted another possible solution:
Option 4: Disable the "Panel Self Refresh" option in the Intel Graphics Command Center:
"I've fixed it on my SP7 i5/8G/256G by installing the Intel Graphics Command Center from the Microsoft Store, opening it, going to System>Power>Panel Self Refresh and turning it off for both "On Battery" and "Plugged In"."