Interesting to see everyone's points from their experience and tastes on this.

Since I am need of a regular rain jacket anyway (to wear outside in general not just when cycling) I think I'm going to go with this: http://www.rei.com/product/844639/re...in-jacket-mens
I tried it on in the store a few weeks ago, but didn't buy it.
It's got a removable hood. And I definitely want a hood for non-cycling use because if I'm out walking the dog in the rain I can't not have a hood, etc. But since it's removable it's best of both. I guess I can test out the hood-while-riding scenario at some point.
It packs down into it's own pocket for compact storage, and isn't a heavy/insulated one.