Wishmaster:
The only problem about monsters dropping what armour they wield is that, if they all drop weapona/armour you would be a very rich person( a bit too rich) seeing as you are killing loads of orcs and the armour/weapons would be valuable....... unless you sell them for very little value but then that would not be fair on the player!
I think for this reason treasure is kind of limited.
I would like to see monsters using potions such as mana/health to regenerate themselves.