Plop went the iPhone...?

Ok so it happened to me... I went to go to the washroom not realizing that my iPhone was in my back pocket and plop when the iPhone. I immediately grabbed the phone (pants around my ankles) took off the case and dried it out with a towel. For some reason the screen came on, then static, then nothing. I grabbed my blow dryer and tried getting any and all water out of the charger/ headphone ends... Then stuck it in a bag of rice and there it sits... the only wetness I notice is some condensation around the screen. Couple questions. Do you think it shorted out, hense the static? How long should I wait til I plug it in? and when/if it doesn't work would I be better off saying it was stolen when I attempt to replace it?