Any recommendations? It should be fairly tough but will be carried around in a zip log bag if needed. Max would be around the $500 mark. And yes I do use my iPhone which I am carrying around anyway but we often only have one phone with us when going on a ride and will spend a few weeks in Europe riding and would love a dedicated camera.
sony rx100
Yep this, or cannon s100
i think the laterst versions for either might be a bit over your budget though
I use a Ricoh GR IV, bit older but a goodie
Whatever is small and shows up as a good deal on ozbargain next 
Holga
Yep, this is unbeatable. Shoots RAW, has a decent zoom.
Edit: Just saw your $500 max. You might be able to get a second hand 1st or 2nd gen one for that price.
MK1 or MK2 will do the trick, sensor and lens are pretty similar just less of the fancy doo-dads like pop up rangefinder and NFC.
Having now read about that camera I may be able to stretch the budget a tiny bit 
thanks folks.
As stated a popular one is the RX100, although I have also heard it’s a tad slippery to hold when riding.
I’ve been using the Ricoh GRD II which I love since owning the original GRD 1 years ago.
Wow…but they seem to sell for around the $1000 mark?!
Picked up Leica D-Lux5 2nd hand that I use.
I have the rx100 not much comes close to Sony cameras these days even cannon are struggling to keep up.
I have an rx100, bought to take riding. Never take it because i’m paranoid about destroying it with sweat, and I like to take shots without stopping so I cant be bothered fiddling with a snap lock bag.
Aside from me needing to sort my own shit out, it’s great!
the canon S range is pretty awesome. I have an s120, got it after I lost my s95 in the snow. plenty between the s95 & s120 in that price range, and all are great.
Came back to mention this - another option would be a cheaper waterproof one.
So, what do you use instead?
i bought a panasonic lumix lf-1 a while back, and it’s been good. i think the current equivalent would be something like the dmc-tz60, mine does shot in raw but it takes a while to save the file, so not really good for taking multiple shots quickly