Go To "All Programs > CodeMeter > Tools > CodeMeter Disc Configuration.
This will open CodeMeter's Disc Configuration tool.
On the right are three tabs; 'Info', 'Disc Configuration', and 'Options'.
Select the 'Options' tab.
You should see the Disc Type shown as "Local Disc" (the default setting, for some obscure reason).
Double Click it so a new option list opens, where you can change it to "Removable Disc".
Do so.
Click the 'Apply Changes' button at the bottom.
That's half the cure.
To finish;
Once you've done all that and closed the app., unplug the CodeMeter stick.
Wait a second or two, then re-connect it.