I gotta put in my $0.02 here: at work and at home, I run a RAID (redundant array of inexpensive devices). At work, it's a 1.5 TB (yep, terabyte) RAID and at home it's a 500 MB RAID. These run RAID 3, provide RAID 0 speed, and will tolerate the loss of any single disk. When a disk fails, they squawk at me and tell me which one it is. I them swap the bad disk for a new one and rebuild the RAID. The controllers were made by NetCell which has, alas, gone under (I never had anything to do with NetCell, only a happy customer). But, it's a lead-pipe cinch that someone will pick up the line and re-start manufacturing once all the bankruptcy stuff gets worked out.
Two things can kill me, though: 1) if the RAID controller fails, I may well be toast though I have spare controllers, and 2) if two disks fail simultaneously (low probability, but still not zero) the RAID is lost.
RAID 1 is a mirrored disk: you have two disks that are exact copies of each other and the copying is done on the fly. This is like having an automatic backup runing constantly. If one disk is lost, there's always the other one. Again, these will fail you if both disks die simultaneously (or nearly so) or if the controller dies.
If you absolutely, positively cannot tolerate the loss of any data, ever, you need to do multiple, at least daily backups and store the backups off-site.
RAID 0 controllers are quite cheap and, for the cost of a controller and extra disk (which together cost about as much as a USB drive), worth the peace of mind.
Kim Elmore