Alik, what version & build of PD are you using? I figure the version is 9, because you are here, but what build?
Click on the word PowerDirector in your interface, the info is there.
And...please supply a dxdiag for us, it is a function of your computer that will explain exactly what the innards of your PC are. You have an unusual problem.

http://forum.cyberlink.com/forum/posts/list/7958.page

Focus on part B, and attach as a file on this forum thread. HP Envy Phoenix/4thGen i7-4770(4@3.4GHz~turbo>3.9)
Nvidia GTX 960(4GB)/16GB DDR3/
Canon Vixia HV30/HF-M40/HF-M41/HF-G20/Olympus E-PL5.
Tape capture using 6 VCR, TBC-1000, Elite BVP4+, Sony D8 camcorder with TBC.
https://www.facebook.com/BarryAFTT

Is the button to add a chapter grayed out like the middle two buttons in my attachment, or bright like the left and right button? When you hover the mouse pointer over the button does it glow blue? A possible work around until we can determine the problem is to split your clip where you want the chapter. Then use the option to add a chapter at the beginning of each clip. You may have to go back and remove any unwanted chapters after that. Hopefully we can get you fixed and working. __________________________________
CORNBLOSSOM

Barry, the Crab,
My PD program is version 9.0.0.2930
I hope the dxdiag details are as requested: I am using Windows 7 on Sony Vaio computer.
CPU M330@ 2.13Ghz
Ram 4.00GB
64 bit operating System
Meanwhile I found the right buttons which were quite concealed below the automated chapters assignment.
Many thanks for assisting me
Alik

Dear Jaime-esque
Again appreciate your help. While trying to look for Add a Chapter button, I did find them concealed below the line of the Automated Chapter assignments options. I think it is the wrong location to place them.
Thanks again
Alik