If the macro does nothing, try the Help ➤ Assistance window, and select Something expected is not happening which will check various things including whether the macro is active (for example, if the macro is in a Phile Audio group that is only active if Phile Audio is running/frontmost, then the macro will not be active and so will not detect the CD insertion).
Failing that, it’s possible the name of the disk is from. Click in the volume name text field and then insert the disk and Keyboard Maestro will fill in the field for you.
The Help -> Assistance helped me locate the problem. The problem was that I had put in the macro in a macro group for a palette triggered by a hotkey. So of course it would not work.