If you have dropped something that is not living, just get out of the way of it and let it hit the ground. There are too many ways to get hurt and not enough things valuable enough to get hurt over. The first-cut (no pun intended) decision should always be to let it hit the ground.

I suggest catching children and pets, unless the pet weighs more than the children.

Yes, there are exceptions to this rule, but haven't you hurt yourself by catching things before? Several times? Didn't you tell me the story about the time you caught the knife you dropped and laid your hand open?