The code you provided works as is for me using perl 5.8.4 and Net::SMTP 2.29 on a redhat enterprise 4 machine.
What operating system is this running on? Also what versions of perl and Net::SMTP?
Update - It's possible that you can't connect to that port, possibly because of a firewall or local permissions issue. For example, when running in a CGI script people using Fedora sometimes have a problem with SELINUX
Try this in the shell:
telnet smtp.1and1.com 25
If you can connect you should see this:
Trying 217.160.226.98...
Connected to smtp.1and1.com.
Escape character is '^]'.
220 smtp.perfora.net (mrelayus1) Welcome to Nemesis ESMTP server
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