I got it now

I installed Zone Alarm Antispyware and clicked yes to turn off the Avast Web Shield Transparent Mode Proxy, however from what I have read I didn’t have to do this with Zone Alarm AS. I then did a search and found out how to turn it back on and it’s working again. The reason I’m saying this is because I originally asked how to do it in this post before I figured it out, and couldn’t delete my post. LOL.

Well the avast process has found ZA and it is usually able to determine if it is the Free or Pro version, I suspect that even though you got the free offer or free today, it would normally be associated with the Pro version of ZA, so that may be why the avast!/ZA dialogue pop-up window was displayed.

The main need for the disablement of the avast Web Shield Transparent Mode Proxy if if the version of ZA includes a Privacy mode function, this is usually in the firewall and I don’t know if this also comes with or you have ZA firewall.

If there is no privacy function you can enable the avast Web Shield Transparent Mode Proxy again.

Use a text editor and edit the avast4.ini file, the default installation location is C:\Program Files\Alwil Software\Avast4\DATA\avast4.ini (I would advise you copy avast4.ini before editing it, just in case).

If you answered incorrectly, Locate the line containing ZoneAlarmCompatibility= and delete that line (avast will ask again on reboot, answer NO) or change the value to =0. Save the edited avast4.ini file.

Update:
I have seen in another topic that my suspicions are correct this comes with ZA Pro, so avast is correct in its ZA compatibility check.

So I would say that you should have answered Yes if the above is correct and you need to manyally set your browsers to use the avast Web Shield proxy.