JimG,
the inserts are specially designed for these dipper rods. They have a large oblong hole just like the impression in the babbitt. They are thinner than most inserts so that the machining is minimal. This is a very common way of refurbishing these engines.If you look at Chevs of the 40s, or Kanters Auto, you will see these listed, and the converted rods. However, there is no disputing that these dippers were an ancient design and full pressure oiling is a much hardier system. Chevy was a bit of a hold out in this regard.
As far as full flow oil filter is concerned, the old "bypass" filters are probably not that effective because they are only filtering a small percentage of the flow. The only reasonable way to get the full flow, in my opinion is to go with the more modern full oil flow motor.