Good choice
What I have for my iPad2:
Apple iPad 2 Smart Cover (blue polyurethane) - covers the front, acts as a stand.
Cool Bananas SmartShell for iPad 2 (black) - covers the back (one problem with the Smart Cover is that - unlike folio cases etc - it leaves the back exposed)
Moshi iVisor AG for iPad 2 (black) - anti-glare screen protector. More expensive than some, but very easy to apply, as it only sticks to the border.
I also have a Belkin neoprene sleeve, bought from Amazon. It's actually meant for the iPad 1, but still fits my iPad 2 even with the Smart Cover and the back shell thing.
As to whether you
need a screen protector... that depends. I'm a paranoid obsessive compulsive, and my iPad 2 *must* be kept safe and secure

, but you may not really need a protector yourself. The Smart Cover already gives protection when the iPad is not in use, so do you need anything for when it's being used? Still, for the price of the one you linked to, why not?