I completely lost faith in CD and DVD as a backup medium. I have various CD's with gold dye, that are unreadable or contain many read errors (Kodak Gold and Mitsui Gold) and only 5 years old. Some DVD's also contain reading errors. I stored them at room temperature inside the dark.
In my opinion a far better solution are harddisks. They give the best value considereing the cost per gigabyte. They are very safe and very, very fast.
Of course you can get an HD crash and lose anything on that drive, therefore you need al least another drive.
My setup at home:
I have three harddisks inside my computer, two for my OS and working files and one backup drive. This 320 GB internal HD for quick backups stores the backups of my pictures, e-mail and other important files.
I also have two 320GB internal HDs enclosed in an external eSATA case. I make periodical backups of my files from my internal backup drive to the two external located drives. the data on the external located drives are indentical.
With this setup, I have my important data on at least three locations. It's safe, fast, easy and cheap. I use ViseVersa Pro backup software.