@Ikterius: Hmm... now you made me think about how I do this, and I kind of...just do it
But I think your second version is the best. I just use the sharp edge of the sculpting tool to create a line all around. Try it out and you'll see what I mean-it is very simple. You can hold your (wet) fingers on the backside of the string for support so it doesn't go all crazy.
@Rabbit: I just got my water-effect in the mail, and I will use some on this dude too. The most will be used in the mouth, and at the tip of the tail, but the wounds and the maggots will have their share too