I'll have to assume that this "URL not found /index/contact" error you are receiving is a 404 error generated by your webserver/browser because it was unable to find the file '<documentroot>/index/contact' on disk.
It seems like you have configured your ZF app to handle index/contact correctly, so whats the problem?
Probably, it is because you have not instructed your webserver to 'redirect' all requests to your index.php file where they can be correctly handled by your ZF app.
For apache webservers, you would make use of the mod_rewrite module which allows you to do the above.
In your virtualhost config, or .htaccess, you would want something along the lines of:
RewriteCond %{REQUEST_FILENAME} -s [OR]
RewriteCond %{REQUEST_FILENAME} -l [OR]
RewriteCond %{REQUEST_FILENAME} -d
RewriteRule ^.*$ - [NC,L]
RewriteRule ^.*$ /index.php [NC,L]
Basically, this instructs Apache to rewrite all requests which would normally result in a 404 File Not Found back to your index.php for correct handling. There are several ways of doing this, but this is a good starting place.
This is actually covered in the ZF Quickstart Guide