I have dropped my camera and it still works fine but today after having it since the model first came out.. its now starting to act funny. It will turn on but the screen stays black then the blue light goes out and stops working. I press the button to turn on again and it stays on for a short while and then turns of and the lens is still extended. The lens will move slightly but stay out..
Lens errors are fairly common. Usually it's sand or grit interfering with the lens extension mechanism. Or the camera's been dropped with the lens extended. Or the camera has been powered on, but the lens had been blocked preventing its extension. Or the battery ran down with the lens extended ...
Here are some troubleshooting steps that you can try that may (or may not) correct it. They only seem to work for less than 40% of the lens errors, but if the camera is out of warranty (or repair cost approaches that of the camera), they're worth that try. Some of the later steps do involve some risk to the camera, so carefully weigh your options before deciding to conduct them.
And here's a 16 minute video summary of the info shown in the link. But note that the article link above goes into more detail than this video:
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I was taking several pictures when it suddenly started acting this way
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