I looked a while back for my 4.2 before I decided to have aftermarket leather installed. None of the seat covers I found, including high quality custom ones, guaranteed they worked with the seat mounted side airbags. An exception to this I THINK was Wet Okoke, but I already knew I didn't want them because of the horrible smell of the neoprene (my husband had a set for a little while).
Just a thought, I just visited my local Katzin dealer. It is a national franchise though, they do aftermarket leather on the 06 Rav4 , w/side air bags no problem she said. The guarentee is the same as the manufactures. They have one grade of leather which really feels nice and soft, I wouldn't call it kid leather soft but it was nice. Several color choices: 29 to be exact. For two row seat models the cost is $1,295 (three row models didn't ask) leather seating surfaces only, door panel, arm rests, lower seat areas are covered in vinyl. Two tone $85-100. more. pipping $65. more, all plus tax of course.