Hi there, I have the same issue (purchased digital Deluxe Premium), "Insert Disk Error" no matter how I try.
I may have found a workaround, which may be worth a try, as an alternative to reinstall completely Windows / All Apps.
- Create yourself another Microsoft account (in case you do not have an extra one)
- Go to Settings and Create a new User with your alternative Microsoft Account.
- Go to Control Panel, and assign to the new User the cathegory "Administrator"
- Alt-Ctrl-Del- Change user - Log-in into your new user account
- Open Microsoft Store, go to your account and log off.
- Log-in in Microsft Store with the original account which you used to purchase the game
- Try to install it. It should work!
I have tested this on two different computers (both facing the "Insert Disk Error"), and it seems to work.
Pros: It is much quicker and simpler than reinstalling Windows.
Cons: You need to change Windows' user everytime you want to use the Sim. While this may suck, you also have the advantage that you can use the new user just for Flight Simulator, so there will be no e-mail or messaging interruptions, no temptation to do
other things while flying, etc.
Hoping this may help some other victims of Microsoft...