It seems strange to me that an offensive form should deal out obliterates on regular attacks, have 1000+ hps, and yet take grazes in damage. When we talk about offense and defense with non-mages, we see nothing with that sort of potential.

Damage reduction on offensive forms diminishes the value of defensive forms--if I were an experienced mage player with good wand knowledge, I would be hard pressed to find a reason to play a defensive form other than hoping for a regenerative (not a defensive) form for when I ran out of speckled pills.