This is VERY accurate. I have gone through each of these stages more than once, and I’ve learned my lesson! These days I’m doing daily incremental online backups using Mozy, plus another copy of the super-important stuff (photos and vacation/concert videos) on a drive here in the house, so I don’t worry at all about suddenly losing everything.
So your hard drive just died, and you didn’t back it up. I’m so, so sorry. You can expect to go through the following five stages once you discover that all of your photos, files and music are gone forever.