It's easier than ever to link images in your blog to URLS. (The pic above is linked to this blog for example) While still in 'Visual Mode on your editor, click on the image once and you'll see an 'edit' below it. Click on 'edit'
You can enter any URL you want in the Link. It works with Animated GIF images too. It also helps on the blog roll, making the picture as well as the title a direct link to the blog. Click on the GIF image below the diagram for an example.