Ran across an interesting approach to generating insert statements for SQL Server 2005 (and other variants). If uses a less well known function called master.dbo.fn_varbintohexstr. The approach that was taken was to use the fn_varbintohexstr function to encode the data so you did not need to use cursors or any fancy parsing to handle unicode and quotes in the generated insert statements. I thought it was a bit clever.
Note: you might need to register at SQLServerCentral.com to gain access to the site to read the above linked article.