If you actually look into what you are installing, any insecurities are avoidable. The very fact that Jackey Wallpapers apps do not request SMS info means I will wait before worrying (not that I use a wallpaper app at all).
Contact theft isn't impossible on iOS either: http://www.appleiphoneschool.com/2008/07/24/aurora-feint-removed-from-app-store/
iPhone owners dont need to worry about all those things.
nice mentioning an article from 2008. the app was removed from the App store. and by the way, this Android hole stole contact lists, text messages,etc.