Not sure if you still need the answer,but heres how to disable Auto-Insertion:
XP Home:
Go to Regedit - HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\policies\Explorer
Create a new value called: NoDriveTypeAutoRun
Type is: DWORD
Value is: 0x000000b5 (181)
And may need to Restart.
XP Pro
Click Start, Run and enter GPEDIT.MSC
On the left - Go to Computer Configuration, Administrative Templates, System
Find the line that says "Turn AutoPlay Off" - Double click it and change to Enable.
I have only tried the XP Pro version for this and it worked fine.
Shawn.