I agree to a point but I have trouble seeing how hand to hand is going to be realisticly useful against anything other than humans.
Not really. In real life, fighting unarmed is often very practical against an animal. Granted you may be more exposed that you might be if you had a club/bat to extend your swing radius, but fighting without a weapon gives you more freedom of movement and allows you to use your hands not only as weapons, but to manipulate and restrict your opponent's movement (and therefore their ability to fight back). A normal sized human can generally fend off one or maybe even two advlt wolves without using a weapon. A strong/agile/well-trained fighter could probably deal with even bigger and stronger enemies...
Fighting hand to hand against a human opponent is definitely different than fighting against an animal, but that's because there is an entirely different strategy to it, as your opponent will also be trying to use his hands and body to manipulate you in the same way you will be doing to him, so it's more about predicting the next move and waiting for a good opening, whereas fighting an animal, you're generally just trying to take their claws/teeth out of the equation while landing blows to sensitive areas as quickly as possible.