Hardware Encryption on 3GS

Ok, maybe I am missing something but... is this on by default and not able to disable or is there a way to enable this? Being in a hospital environment we would need to verify or be able to prove that hardware encryption is in fact on and working. I manage a BES environment now, and I have a corporate policy set to enable hardware security on all of our Blackberry devices. I have been through the 3GS with a fine tooth comb and can not locate anywhere to enable/disable the encryption. Any info would be greatly appreciated.

As I understand it:
- Hardware encryption of the entire flash memory is enabled by default on all iPhone 3GS
- There is currently no way of accessing the encryption key, it seems to be generated by the phone, and is only stored on the phone itself. The only way to get a new key is to do a complete device erase.
- The encryption is transparent, that means that someone with access to the phone could use it, access the data, and even by jail braking would be able to transfer all the data. To all applications running on the phone, it looks like nothing is encrypted.
- You need to rely on the iPhone OS to prevent unauthorised access to any data. So you need to trust it that it has no vulnerabilities (tough when Apple is not using the current state of the art, as buffer overflows are completely avoidable, and the 3GS can still be jail broken) and you need to make sure that physical access to the device is prevented by setting up a pass code.
- As explained above you will need to set up iTunes to encrypt the backup it generates, otherwise this would be backdoor into the iPhone device data.

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