Joebert's smart but a little paranoid.
You don't need two physically separate drives and to switch with the BIOS.
Installing linux after windows is easier than installing windows after linux, because linux will respect the windows install whereas windows may not do the reverese.
Most distros now do a decent job of detecting what's on your disk and resizing partitions to make space for itself. Then a boot menu is installed allowing you to choose which operating system to use.
Of course, if you are smart and a little paranoid you can do the partitioning yourself, if windows allows you to resize while running (or if you already have an empty partition).
If you use Ubuntu, choose the "custom" option to set your drive sizes the way you want. It's auto functioning is a little gimpy IMO.
ADVANCED TRICK:
If possible, keep backups of your "Master Boot Record". I don't know how to do this via windows, but the MBR is the first 512 byte physical block on the drive. The BIOS uses this to understand the format of the drive and to load the OS. It will be rewritten whenever you install an operating system. If something goes wrong, don't worry too much -- it is almost certainly because of the MBR, which can make it
appear that one of your partitions is gone, etc. It is unlikely that linux will do this, however.
FYI, to backup the MBR using GNU/linux:
dd if=/dev/hda of=MBR.backup bs=512 count=1
"/dev/hda" refers to the drive, not a partition like /dev/hda1 or hda2, etc. You can restore an old MBR like this:
dd if=MBR.backup of=/dev/hda bs=512 count=1
Presto!