A novel type of polarization-independent optical isolator is described which utilizes the polarization walkoff provided by birefringent crystals. Isolation of 44 dB is measured at a wavelength of 1.3 mu m with single-mode fiber insertion loss of 1.5 dB. A temperature-independent scheme is also described that provides at least 39 dB of isolation over the temperature range of 25-75 degrees C. >