I'm not a "t-case expert"...but, I hang with a bunch of Jeepers and full-size diesel guys. When I say diesel guys, I mean SERIOUS, nationally recognized, competition, pulling trucks. They are all Cummins freaks and they build some serious power. These guys destroy Dana 80s and Sterling axles like tinker-toys, and they spend money like no hobby I've ever seen!

I cannot imagine how they stay married! I can tell you what my wife would say if I came home every weekend and said...
"Honey, I'm gonna need another $6k to get the truck to a full-pull". Yeah right. My clothes would be on the front lawn in five minutes!
Anyway, many of theses guys use the NP205, in various forms...chain or gear. The 205 is sort of a crude t-case by today's standards but, its cast iron and comes in both passenger and driver drop. This same crowd uses all sorts of adapters, and frankly I get confused because their rigs are basically FordChevyDodgeWhatever trucks...built from many different models. Obviously, these guys don't care about petty things like Vehicle Speed Sensors or Encoder Motors. Hell...they don't even care if it fits (they'll make it fit). So, its a different world when you start talking mods at this level. You might want to track down a forum member named MaxPF. He's knowledgeable enough to have a conversation with my diesel friends and actually understand what they are talking about.
As for the H3? Like most of the truck, a t-case swap is an "all or nothing" mod. If you want to keep the electronics functioning, then you're stuck with the BW 4493/4494 full-time case. If you want to replace it with something beefy, then you'll have to live with dash lights, no traction control, and levers coming up thru the floor in all sorts of locations. There is a guy on 355Nation (Colorad/Canyon forum) that installed a NP241 in his Colorado. Not sure its technically an "upgrade" from the stock BW case but, it does have a VSS and 2wd mode (with manual levers). My big hang-up with swapping out my 4494, is that I don't want to loose the 4:1 low range.