Sitewide Privacy Plugin - option at signup?

I'm using the sitewide privacy plugin to make all blogs visible. I have taken the option to change away but I am still seeing the option to mark my blog at signup. This is what shows on the signup page.

Privacy: I would like my blog to appear in search engines like Google and Technorati, and in public listings around this site.

If I mark "Allow override" as NO and the settings say Allow all visitors to all blogs should this option no longer be available at signup?

We don't want to offer private blogs.