F4M SUPPORT The insert disk error message (which is very misleading) usually happens when FileVault turned on. Move the Flip4Mac WMV.mpkg installer to some location outside of the user's protected area. By default, the installer attempts to run from the Desktop, which is inside the File Vault protected area. Just move this file to either another volume if you have one, or anywhere else outside of the /Users/ folder. For example, /Users/Shared. This should allow the installer to work correctly. This anomaly is noted on the Flip4Mac Support Site - http://www.telestream.net/telestream-support/knowledge-base/kb-0083.htm
Flip4Mac Support
(Version 2.2.3.7)