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Im currently making some Slaaneshi Chosen using incubi as the base. To help these fit in with my other warriors I plan to add cloaks to them but Im not too sure how to model them effectively. Any suggestions?

Good choice, I actually use Incubi for my own Slaanesh Chosen.

http://www.dakkadakka.com/dakkaforum/posts/list/242387.page That has a really good guide for cloth tabards which I'm sure could also easily be applied for cloaks, just on a larger scale.

Avatars of war are making some fairly good ones if you dont mind going outside GW range