scared of HTML, the Compose tab will let you create wrapped text - you just may need to use the Edit HTML tab view to see and remove the ugly gaps and other gremlins. The only other issue that could be causing trouble is if your blog's template is not set widely enough for the images you are inserting into your post. It might look just fine while composing/editing. And then when you preview or publish it disappears or gets chopped off. That would involve either resizing your images so that they are smaller, or modifying your blog's template to have a wider viewing space - like when watching movies on DVD and selecting Wide Screen instead of the normal view. Or just pick a different template.
Knowing how to get your text to wrap around your images in Blogger can make things more visually interesting, segment your thoughts into a more digestible format for readers or just be a way to express your mood at the moment. Hopefully these suggestions will help Susan out in her mission and do the same for your wrapping efforts. If they don't, we've got more research to do!!!
Image courtesy Wade Kelly via Fotopedia