Yep, everything you said about the stock Rubicon transfer case is correct but Advance Adapters fixes that with this: https://www.advanceadapters.com/categories/rubicrawler/237/
Installed one in my LJR and love it as it gives you so many options, 2WD, 2WD low, 4WD, 4WD 2.73:1 low, 4WD 4:1 low and...