Ditto here too. Great product. If I had to pay for one mobile app, it'd be LastPass. Hands down. I don't have to worry about local browser insecurity, loosing phone, etc...
I, too, use the multi-level grid authentication you mention, so even if your master and sub-master passes are hacked, they would need to be in physical possession of an additional authentication method.
I've got my grandfather and other family members using it as well. Their days of pathetic passwords are over... well, I'd like to think so.
I haven't used 1Password. I'll have to take a look.
EDIT: Woah! 1Password $39.99 for single user license. pretty restricted "free options" too. I do like the PBKDF2 and hope LastPass will move this way also. No USB thumbdrive method or multi-factor authentication. No virtual keyboard for anything other than Windows and not in Chrome. No one time password(haven't seen that yet)??
I'm looking here btw LastPass vs. 1Password: Password Manager Shootout [Windows/Mac] | 40Tech
Also, as to 1Password, I don't really like the idea of a standalone sitting around on computers. I would think it would be susceptible to reverse engineering and, hence, a serious security liability. A large part of the rational for me was to have local computers in no way in touch with my credentials.
There is a an open source alternative as well: KeePass
Now, here's the rub: Did you complete the initial setup with tape on or tape off?