Yes Ian's quite right, the default flight is the place to start:
Default Cessna, Ctrl-Shft-F1, and don't forget to set the mixture to 100%.
Save as default.
Load ICARO by starting at the default flight and changing a/c.
Go to 2D cockpit and cycle through all popup windows (Not too hard to do as you're using them for the start procedure anyway)
Once running you can go to VC and spot with no problem.
I had a go with the BK117 again, starting up in the Far North just to be sure no scenery impinged, and then switched airports to Auckland.
Works fine here...just wish they'd put in the pilots.
