diff -r c61da758a9a2 runtime/doc/pi_paren.txt
--- a/runtime/doc/pi_paren.txt	Wed Apr 24 18:34:45 2013 +0200
+++ b/runtime/doc/pi_paren.txt	Tue Apr 30 12:45:56 2013 +0800
@@ -15,6 +15,10 @@
 The plugin installs CursorMoved, CursorMovedI and WinEnter autocommands to
 redefine the match highlighting.
 
+You can disable this plugin in insert mode by setting the "matchparen_noinsert"
+variable: >
+	:let matchparen_noinsert = 1
+
 					*:NoMatchParen* *:DoMatchParen*
 To disable the plugin after it was loaded use this command: >
 
diff -r c61da758a9a2 runtime/plugin/matchparen.vim
--- a/runtime/plugin/matchparen.vim	Wed Apr 24 18:34:45 2013 +0200
+++ b/runtime/plugin/matchparen.vim	Tue Apr 30 12:45:56 2013 +0800
@@ -1,6 +1,6 @@
 " Vim plugin for showing matching parens
 " Maintainer:  Bram Moolenaar <Bram@vim.org>
-" Last Change: 2013 Mar 19
+" Last Change: 2013 Apr 30
 
 " Exit quickly when:
 " - this plugin was already loaded (or disabled)
@@ -13,7 +13,13 @@
 
 augroup matchparen
   " Replace all matchparen autocommands
-  autocmd! CursorMoved,CursorMovedI,WinEnter * call s:Highlight_Matching_Pair()
+  autocmd! CursorMoved,WinEnter * call s:Highlight_Matching_Pair()
+  if exists("g:matchparen_noinsert") && g:matchparen_noinsert
+    autocmd! InsertEnter * call s:Unhighlight_Matching_Pair()
+    autocmd! InsertLeave * call s:Highlight_Matching_Pair()
+  else
+    autocmd! CursorMovedI * call s:Highlight_Matching_Pair()
+  endif
   if exists('##TextChanged')
     autocmd! TextChanged,TextChangedI * call s:Highlight_Matching_Pair()
   endif
@@ -27,6 +33,14 @@
 let s:cpo_save = &cpo
 set cpo-=C
 
+function! s:Unhighlight_Matching_Pair()
+  " Remove any previous match.
+  if exists('w:paren_hl_on') && w:paren_hl_on
+    3match none
+    let w:paren_hl_on = 0
+  endif
+endfunction
+
 " The function that is invoked (very often) to define a ":match" highlighting
 " for any matching paren.
 function! s:Highlight_Matching_Pair()