barbary, ask your IT folks to allow saving the local passwords. It's a RADIUS attribute.
Alternately, ask your IT folks to provide you with a VPN Client 3002 or an 800 router. These can be configured to be hardware network-mode VPN clients that take care of all the authentication stuff for you.
The Cisco VPN client is pretty much (IMO) the best out there for Windows. It's not that there's anything wrong with it here, your IT people have simply configured it to act a certain way. You might not like that way. That really comes down to you needing to work that out with them. If you try to use a different client to connect that doesn't prompt for the password, that's going to make your IT folks very unhappy with you. If you think putting the password in occasionally is annoying, try working from home with no VPN access allowed at all.
senseamp, what version of the Cisco client are you using, and what else is on your laptop? I have *never* seen the Cisco VPN client cause a BSOD. I have many many times seen Windows boxes with way too many random things on them that will BSOD because of that. The Cisco VPN client grapples into the networking stack in a fairly aggressive and unfriendly way, and it's likely that a conflict between that and some other things on your box (software firewall, anti-virus, etc.) is causing this BSOD. Put another way, a cleaner Windows install might not have that problem.