sanest I've found is stuff like acronis true image.
I keep a small c: drive for the OS and basics, make a copy of the partition, stashed on d: and external - then if/when the crash comes, boot up using the acronis bootdisk, reinstall partition, and all's good. acronis also has a facility to make a 'secure zone' partition on your drive, so that regardless of whats happened, you can boot up and restore.
trouble with XP system restore is that often its storing malware and trojans you might have picked up, and restoring those, just bring the problem back. (and a lot of a/v software cant get at the bugs that have been backed up...)