Thanks for the replies all. Currently the All-Paladin team I've got is still gearing up in Heroics, so I don't expect I'll have time to make an All-Druid team pre-Cata, but it's high on my to-do list post-Cata.

Having not leveled a Druid before (got one to 20 I think), I was unfamiliar with some of the advantages/drawbacks addressed here so that was good to learn to.

It seems like for PvE you fairly have to spec one as a dedicated healer from the sounds of it, so I'll keep that in mind when I make and level the team (and dual-spec the tank/healer druids to go pew pew for PvP).