Probably the team that is developing Windows Live Writer never tested it with “small” resolutions: I’ve a 15” LCD display on my Dell D830 with a native (and thus maximum) resolution of 1280 x 800 and I cannot insert “object” inside my posts using the shortcuts in the left sidebar since they are at the bottom of the sidebar, and slip under the bottom status bar.
The biggest problem is the plugins are at the bottom of the list, so, even if I maximize the window, the second plugin will never show up. Ok, I can use the menu or the toolbar to insert a snippet of code, but using the sidebar requires just one click instead of two.
Not sure how they can solve this usability problem: maybe adding a scrollbar, or adding the possibility to collapse each section of the sidebar (Drafts, Posted and Insert).