People, do you fear computer failure as much as I do?
Well, I protect my data in a few ways.
1. I make a CD/DVD each year and mail it to my mom's house, in case something happens here (aka, giant fireball that happened just a few miles up the road)
2. I use Mozy -- it automatically backs-up this year's photos, financial info, etc. You get 2GB free (and if you click on this link you get an extra 256 mb (which is 1/4 of a gig) -- or, you can alternately use referal code UWGJ4B in the referal code box -- it will be the same deal. :) That way, I have this year's photos consistantly backing up (as well as our quicken, documents, etc.) and the other ones are safe at grandma's.
At least, that's what I think when I sleep at night.
Give it a try, you'll feel warm and fuzzy inside. :)