Yup it's a plastic that covers the keyboard eg : http://www.swexpress.com/home.nsf/0/...d+Cover+(blank) Get the translucent ones will be easier to see what you type.
Recommended is 512MB RAM at least, if you can, go higher! I upgraded to 768MB.
Upgrade is possible on the iBook, like change larger HDD and adding BT. But not cheap
If you're worried about breakdown, you can purchase Apple Care for iBook, sykestang has lobang for Apple Care iBook, pm him