Unfortunately, the last suggestion didn't help. I ran into the same problem when installing LM13 32bit Cinnamon. (I installed from a USB key I had prepared with Unetbootin, but had checked before with a DVD and it didn't work either, if that's of any importance.)
When I check "Encrypt my home folder" during the installation and then hit "continue", nothing happens for quite a while. After two or three minutes, the next window appears very briefly (for less than a second) and then the installer window just closes without further warning. When I restart my computer the system won't boot.
Before installation I deleted all partitions using gparted. I tried both "automatic" installation and setting up a swap partition and a root partition manually, neither worked. (I used ext4 filesystem and let grub install to /dev/sda, as was suggested before.) Also, I tried waiting for the copying process to finish before clicking "continue" but that didn't help either.
I have the feeling that there is something wrong when setting up the encrypted swap partition, because when I run Gparted after the unsuccesful installation procedure, there show up one proper root partition and one "extended" partition with an "unknown" file system on it, that has the size of my laptop's RAM. Obviously this was supposed to be the swap-partition.
Help would be very much appreciated, but I think this is a bug. Maybe anyone else can confirm this?
My suggested workaround would be to not encrypt the home folder during installation but do it afterwards as described here: http://blog.dustinkirkland.com/2011/02/ ... yptfs.html
Ok, sorry, apparently I was on the wrong track there... Just tried installing without the encryption and the exact same error as described above happened. So, at least for me, this is probably not an encryption-related error.