-What is the point of uac? if i do something then it asks me if i want to do it, when would i ever not want to install an application if i have just clicked on it?
User Account Control isn't about trying to second guess everything you're trying to do on your system. Ever since Windows Vista, the initial account which is created during setup, now known as a Protected Administrator, runs with standard user rights by default, due to UAC. Therefore, any operations which request administrator rights will need to be confirmed by you, as the user.
The reason for this is to encourage software developers to develop their applications so they work correctly with standard user rights. If everyone was still running as an unrestricted administrator, software developers would continue to develop their applications under the assumption they have administrator rights. This is also the reason why there is no white-listing capability so you can choose which applications automatically gain administrator rights.
-What is the point of prompting the user when copying files to program files directories, it comes up with a continue prompt. It says i need administrator rights to copy there and then all i do is click continue, how is that security?
The elevation dialog aspect of UAC aren't for security purposes, they're merely there as a convenience. If there was no other way for users to gain administrator rights other than switching accounts, the majority of users would switch to the administrator account once and not switch back. Software developers would then see everyone is still running as an administrator and would develop for that administrative model.
-The administrator account is marked as disabled and even if you have domain admins account you still need to right click on some install applications and other things and click run as administrator for it too work, where it does not even prompt for a password.
The reason why you may need to manually direct an operation to request administrator rights has already explained above. As far as requiring a password for anything which requests administrator rights, you have already authorised yourself as the administrator by logging into an administrator account. So, there is no reason for it to request administrator credentials from that account. If you want any administrative operations to request for the administrator credentials, run as a true standard user instead.
I know that i can disable uac, i know that i can disable program files security prompts. I am just asking if you think these "security" measures will prevent anything malicious or just give the illusion of security to the end user and create unnecessary clicks and annoyances.
UAC, with possibly the exception of Internet Explorer Protected Mode, has never been about malware protection. It's about changing the way software developers write their applications and also enabling users to run as standard users, which in-itself is beneficial from a security perspective.
From a malware point of view, running as a protected administrator, while it will likely prevent malware which assumes administrator rights from functioning correctly, this is merely something of a side effect. If malware manages to infect the administrator account and has been written to work correctly with standard user rights, there are a number of opportunities for it to gain administrator rights.
Even if you're running as a true standard user, if you're elevating from the account which has also been infected with malware, there are also ways for malware to gain administrator rights as well. Though, this is a lot harder to do than from an administrator account. This is simply a standard case of affairs though because elevation always introduces an insecurity to the system. Security and convenience are very closely related; increase one, and you will all most certainly have a negative impact on the other.
It's also important to highlight that malware doesn't even need to be running with administrator rights to be able to do meaningful things. Malware running with standard user rights will still have access to the one thing which is most important to the user, their data.
Whether you will find UAC anoying or not is going to be dependent on how you would like to use your system. If you have no inclination of running as a standard user and like to act as "God"

p), there is no reason why you're going to find UAC anything but annoying. However, if you're interested in running as a standard user, or at least working towards it, UAC is a tool which helps you to do so.
A couple of articles which you may be interested in:
Inside Windows Vista User Account Control
Inside Windows 7 User Account Control
PsExec, User Account Control and Security Boundaries