The OtterBox for iPhone Defender Series is now my permanent iPhone case. Although I don't use the holster, the case by itself is still very rugged and worth the $50 price tag, especially considering that it protects a $400 device.
Even though the case is durable, it doesn't really get in the way, except for the previously mentioned Ring/Vibrate switch. All other functionality is available, and having a thin film that covers the screen makes me feel better about throwing my keys in the same pocket as my iPhone.
Pros
Very Tough
Covers all surfaces on the iPhone
Provides a protective cover over the iPhone screen
Cons
The case covers up the Ring/Vibrate switch on the phone, making it inaccessible
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