Exact same problem on my wife's phone. What were you using to connect into the car?
Our problem seemed to begin after first using a Monster® iSoniTalk™ adapter in the car (
http://www.monstercable.com/productdisplay.asp?pin=4571). Interestingly, I began to develop a problem with "static" playing though my phone using the same product (two different ones in each car).
I had used a Belkin adapter for nearly a year prior with no issues, but switched because of CA's new hands-free law and the microphone built into the Monster product. My wife had used the Monster iCableLink Headphone Adapter for iPhone (
http://store.apple.com/us/product/TP485LL/A?mco=MTIzMTAzOA) for several months, also no problem.
Interestingly, we use a Monster cable (
http://store.apple.com/us/product/TN983LL/A?fnode=home/shopiphone/iphone_accessories/cablesdocks&mco=MTAwMjgw) to connect the iPhone into our home speakers and that plays my wife's iPhone just fine. However, nothing else works in her headphone jack. We've tried multiple adapters, multiple headphones and nothing.
Since the problems on my phone and my wife's cropped up at the same time and because it was shortly after we switched to the Monster® iSoniTalk™, I attributed the problems to that product.
It's construction was, IMO, not up to the typical standard I attribute to that company's products -- it simply felt flimsy.
Anyway, I have a gut feeling that the Monster® iSoniTalk™ caused physical damage to the headphone jack.