Dual boot XP with Win 7?

I have a new system with Win 7 on C: (SSD) & a 2nd 1TB HDD. Considering installing XP onto the 2nd drive to dual boot into either OS for recovery (or other purposes that may arise). My previous system was configured as such except w/ different Os's & 2 HDD's (no SSD's).

I have no experience yet with Win 7 but if this setup is "worthwhile" should I place XP on a separate (it's own) partition & leave the rest for Data, etc or just leave as one large drive/partition?

Why not try using W7 for a while.

After a short learning period, you probably won't care about using XP anymore.

That's quite possible. However, IF I am to partition the 2nd drive (for having another OS on it or other reasons) I'd rather do so now when there's nothing on it than down the road when there is.

Partition or Volume - Create New

You can boot the WIn7 DVD or Repair CD to rescue files or repair the OS.
System Recovery Options
Copy & Paste - in Windows Recovery Console

XP for rescue would be a lot of problems to only be able to copy your files. You could boot it for that purpose on Hirens Boot CD. I just booted into it to delete a file that wouldn't budge even after taking ownership. It has a lot of other tools too. Hiren’s BootCD 15.1
Hiren's BootCD From USB Flash Drive (Pen Drive) » www.hiren.info

"...boot into either OS for recovery..."

Just to clarify:
the reason I prefer to have 2 options (OS's on diff drives) is in case one won't boot or it's drive fails - I still have another way to access/use the computer w/o any "down time". Especially internet access to find answers/solutions to whatever problem might arise. Otherwise I'd be clueless (nearly!).

You can try installing XP onto a partition you shrink on the other HD. Be sure to unplug the Win7 SSD first so it isn't interfered with by XP install. Partition or Volume - Shrink

You may find that XP installer cannot see the HD since it's so old the installer has few SATA drivers. In that case you must slipstream the SATA controller driver for XP into the installer. But you can try it anyway.

After XP install, plug back in Win7 SSD, set it again as first HD to boot in BIOS setup, boot XP HD when needed using the one-time BIOS boot menu key at boot.

If you'r just worried about "down time" why not just make weekly images of the SSD. You can restore the drive in about 20 minuets. Check out the Macrium tutorials on Sevenforums.

I did do a backup to an ext HDD of the OS drive (the SDD) with Win 7's utility so yes - as long as that restore didn't fail then all would be well. I'm also looking into the other imaging options because I'd like to have 2 options available. I have exceedingly bad luck.

Some users say not to trust W7 backup images.

Just trying to be safe, I make images using W7 and Macrium.

The free version of Acronis True Image which comes with any WD or Seagate HD is a cut above the others.

I've never had Win7 backup imaging fail, however it isn't as flexible as the others on what you can image and where you can reimage it. You must use the same offset (position on HD).