Encrypted USB Flash Drive with Lion OS X questions

Like many of us, we don't want our USB flash drives lost with our valuable data on them. So I've used the encryption function in Lion OS X in Disk Utility to make an encrypted flash drive. This has some limitations as I read but what I want to know is can I use this usb drive on a DIFFERENT computer that also has OS X Lion? I don't have another mac w/ lion to test it on.
This is important to me because I've got a laptop and God forbid, but if it was stolen or destroyed, will I be able to access my USB drive with important data on it by plugging it into another mac computer w/ lion?
Also, as a follow up question - I haven't yet made an encrypted DMG file (tho I plan to soon) and place that on a usb drive for multiple platform use, but how functional is this? Can you add and copy files within the DMG file? I thought a dmg file, once created, couldn't change in size, MB's, etc.
Basically, I'd like to use the most user friendly type of way of securing my files and data on USB flash drives. I have tried TrueCrypt and have it installed but I just don't prefer using it. I like the simplicity of the former approach, though it has it's limitations.

NightBird wrote:
This is important to me because I've got a laptop and God forbid, but if it was stolen or destroyed, will I be able to access my USB drive with important data on it by plugging it into another mac computer w/ lion?
How about any computer instead?
Hardware based encryption is superior to software encryption which can be hacked or not available if your needs change.
This will work with any computer, and has a nice keychain so you can attach to something like your wrist or retractable key cable.
http://www.amazon.com/IronKey-Secure-Hardware-Encrypted-Flash-D20402A/dp/B000RXY V5U
There are also hardware based encypted external hard drives with their own keys and password keypads, also work with any computer if your needs are larger then a USB can handle.

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http://discussions.apple.com/thread.jspa?threadID=121944
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OS X Lion: About Lion Recovery
Lion Internet Recovery
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I installed it and got this error : now my Macbook wont even see the flash drive...

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Everything was fine on Lion, and a week of Mountain Lion, until just when my MBA prompted me that my flash drive "was not ejected properly" after I re-opened the display/lid, or from sleep mode.
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