1) Depends on your position, what level you play it at, etc. It's a very fast paced game, so you'll want to be quick. Middies tend to be better endurance runners, and defense/attack tend to focus on being a fast as possible in shorter distances.
2) You don't have to buy any set "kit". But the basics will be:
- a helmet (unless your team provides one)
- good gloves (again, unless the team provides them
- shoulder pads
- either elbow pads or arm guards
- a cup (obviously with compression shorts or a supporter)
- stick
As for what equipment you get specifically, that depends a lot on your budget, your position, and how seriously you compete. I would suggest getting a short stick for your first stick, it's more versatile then a long pole; and you can move around positionally until you find a position you enjoy. If you were to buy a long pole you'd be locked into playing LSM or in close defense.
If you go to a reputable shop, they'll be able to hook you up with a complete beginner package for a fair price. I would shy away from Dick's or other major sporting goods store though. sometimes you can find good deals, but they're few and far between.
3) I would say that defensive middie would be a good place to start, possibly also playing some offense. It will give you the best opportunity to find your niche on the field.
As for your question about physical contact, it depends on the team dynamic I've found. Some teams tend to be more "finesse-y" in my Coach's words. That would mean they have a good overall grasp of the fundamentals (catching & throwing, ball movement, field position) and also that they execute plays that favor precision and speed. Other teams are a bit rougher, and bull-like. By that I mean, they favor strong hits, and don't shy away from contact. Those kinds of teams favor simpler, more blunt plays that just get the job done. Neither is preferable to the other, they're just different styles of playing the game.
If you have any more questions feel free to PM me, Ive been playing about 9.5-10 years now