Hi David,
If you use File=>Save As Web page the web document
retains the ability to be restored to its original
.DOC content (even parts that a browser can't show)
if you open the document in Word. In that 'roundtrip'
format picture links work, but the cursor change doesn't
happen.
If you use File=>Save As Web page-filtered in Word 2002
(or use the Office HTML Filter addin for Word 2000)
you will get smaller .htm files and the hand cursor
will appear, but you'll also want to keep a copy
of your original .doc file as the filtered HTM pages
may lose some content settings.
=====
When I save my word docum,net as a web page and then view
it, how come the hand cursor doesn't appear when I place
the cursor over the picture hyperlink??
Any ideas would be great >>

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I hope this helps you,
Bob Buckland ?:-)
MS Office System Products MVP
*Courtesy is not expensive and can pay big dividends*
The Office 2003 System parts explained
http://microsoft.com/uk/office/preview/system.asp