Haha, I know. I have an ugly mug for sure. :) That's always been kind of my style for screencasting in general. I think it gives it a nice personal feel. But would you rather have the option of just seeing the code without the live video?
I avoid it mostly because it adds overhead to the file size. You can crunch down a screen / presentation only screencast to pretty incredible sizes with H264 but as soon as you mix in live video, you either need to sacrifice its quality severely or put up with large files.