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On a Kindle, all they can do is buy books for your account, and you get notified each time a book is purchased. Surely you would notice if your Kindle is missing, and would have notified Amazon. You can return a book within 7 days of purchase, no questions asked, so it shouldn't be a problem.
Don't know for sure about other ereaders, but I don't believe other brands let you return ebooks.
I don't password my Kindle because, 1) my Kindle is so old it doesn't have that option, and 2) it would be too much trouble to enter the password every time I wake the Kindle up.
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