Werebear is the more brute shapeshift of the Druid. While the Werewolf provides speed and attack rating, the Werebear focuses on damage, defense and life.
The two skills forms can use different attacks in the Shapeshifting tree. While the Werewolf focuses more on fast attacks, the Werebear has more poweful blows capable of stunning the opponents. A druid often has to choose one of the forms to specialize in, and as both are viable in throughout the entire game, either is possible.