Should I handover my SIM card?

My sister is taking over my account (i own the phone she wants the phone #). She now wants me to send her my SIM card (but i keep the phone)... What is on the SIM card? Will this mean my phone is unusable with AT&T in the future (I want to get a new ph# eventually). What about my iTunes will I lose it? Just wondering if giving her my SIM card is necessary...
Thanks!!

All she/you have to do is have your existing sim deactivated by AT&T. You'll need to keep that deactivated sim in your iPhone to update software or restore the phone, should the need arise. You cannot update software or restore any iPhone without a valid sim card installed. The sim need not be activated, but it must be present. Have your sister go to an AT&T store, have your existing sim deactivated & have her get a new sim. The iPhone stores no data on a sim card other than your account information.

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