Not sure what happened here - but there was another thread with the same question I replied to. So I'm copying that reply here:
First off, if you are coming into digital for the first time, and don't sound like a professional SLR style person, I would have to strongly recommend getting an ultra-zoom type camera. While not quite as compact as a slim little ultra-compact, they are still plenty small enough nowadays to wedge into a purse or small bag...and the versatility they provide is just about perfect for a first-timer. There are mini-DSLR style ultrazooms, with bigger grips and protruding lenses that are bulkier but have more range (you may not want these types if portability is high on your list), and there are compact ultrazooms that have 10x to 15x zooms on slim bodies that are no larger than a standard rectangular compact when turned off - the lens pops out to extended position when powered on. These might be a good pick for you.
Now...Canon makes some great cams - ones that might fit into this description for you would be the SX110 (10x) and SX200 (12x). However, I'd strongly encourage you just for your own sake to look around at other brands - there's really no particular reason to limit your choices because there are plenty of excellent cameras out there to choose from, and ergonomics/price/design/features are all so personal, that you might find you like another design better. Casio has a brand-new, just announced compact superzoom, the EX-H10, with a 12x zoom. Check out Panasonic's Lumix TZ6 and TZ7, both with 12x zooms, and Sony's H10, with a 10x zoom. They're all equal performers in nearly all situations...with very similar specs. If you really want to limit yourself to just one name brand...you'll still get a great camera...but you might miss out on one that you really would have loved, or would have been more comfortable to hold. Just my opinion!
Also, don't just look at the multiplication factor of the zoom - look at the actual focal range which is very important to get a versatile camera. You can get a 10x camera that has a longer reach than a 12x camera, for example. The most important number is the wide angle that the camera starts from. Wide angles are very useful for details, closeups, buildings, etc where you want to fit in as much as possible without cutting off the ends. Many compacts start at a fairly average 36mm...not very wide. A 10x lens on a 36mm base means you will reach out to 360mm (10 x 36). A camera that has a 12x zoom on a 28mm base means you'll reach out to 336mm (12 x 36). The 10x actually reaches farther...but at the same time, has a less useful wide end. You want to look for lenses with maximum verstility and range - I'd recommend getting a big-zoom camera that starts at least around 28mm, and has 10x or 12x of reach. This should give you the best of both worlds. The Canon SX200 starts at 28mm with 12x zoom bringing the telephoto end to 336mm. The afformentioned Casio EXH10 starts at a rather amazing 24mm and has a 10x zoom for 240mm at the telephoto end. Panasonic's TZ6 and TZ7 have a very good range of 25mm wide with 12x zoom to 100mm telephoto. Just a few ideas!
As for scratching and such - many of the cameras actually DO have lens caps - but they're built in. Usually, the lens will retract into the body, and a metal cover will slide into place when the camera is turned off. I'd make sure you get a camera that does cover the lens if you intend to be tossing it in a purse. It might be a good idea to give the camera its own little case as well - even just a soft drawstring jewelry bag or something - so it isn't collecting all of the dust and bits and scratches that can be hiding in a purse.