As you probably noticed now when you would like to insert an image to a post all you have to do is click the small "mountain" picture and paste the url of the image. The same goes for linking a page (click the globe with the link).
Also on the top right corner you will notice a link to a site called Servimg, if you would like to sign up you can do so (its free) but what it is is an image hosting site similar to photobucket but easier to access if you are already here on the forums.