Addressing envelopes in Word 2003

[Hope]

I have Office 2003 in XP. Address book is set up in Outlook, as required. with Outlook set as the default. When I open Word to address an envelope or label and select Insert Address I am required to OK Outlook in a Source Profile window before I can view the address list, even though it is the only source listed and was selected as the default. Choosing Options lets me select Outlook as the default! I can select "New" which sends me to Mail in Control Panel, which again tells me that Outlook is the only source and that I only need one source. I have exhausted all sources of Help to no avail--even tried saving the envelope in hope of saving my OK of Outlook.

Anyone know how I can get rid of this nuisance without paying Microsoft $35? Your help would be appreciated.

Hope.