ok not such a polished presentation as yours... [do you recommend a good swf desktop recorder?]

 

but here's me doing it... differences I can see is that I am trying to insert into a p tag, and clicking on the name of the template, not the checkbox next to it (although when I realised that I did try it that way and same thing happened.)

[But FYI we have the elements we use in folders so have to click the folder name anyways in our prodution environment... so the checkbox only selection won't work for us anyway.]

 

Ps just in case this is IE8 on Vista 32bit.