Here is what I do:
I have two hard drives in my system, one is for my OS, APPS, email and my documents, money files, etc.
I run a daily backup of my files over to the second identical harddrive. This allows me a quick and painless recovery if my primary drive ever dies.
Now if the second drive dies, thats ok to, because my data is still on my original good drive.
I also take my photos and burn them to a DVD-R for long term storage. The disc is left open right now, 4.3GB is allot of images so it takes awhile to get it filled up all the way.
I will probably make a copy of the disc once I finalize it and get ready to start a new one. I have photos from years ago on there when i got my first 1-megapixel camera.
Now that my Canon G5 takes much larger photos, I imagine the disc will fill up allot quicker.