Will I loose points if I use an installer? I am having a lot of problem getting my XNA game to deploy with it's dependencies (they are being packaged but not working). What is the problem with an installer anyway?
You might lose a few points in "First Time User Experience" depending on how poor the installer is. If you can, get it working without the installer. If not, do what you have to do to release your game on-time, even if it costs you a point or two.
The "problem" in general (not just this contest) with installers is that for small programs or games, we don't want tools to be installing them to whereever they want - making changes to the registry, creating folders in Program Files, Users/Bob/Program Data/, links on the desktop and in the start menus and in the Games folder, and then when uninstalled a few days later, fails to properly clean up the files/registry-changes/folders it creates.
Installers are good for programs that are (A) large, (B) integrate into the OS, and/or (C) are going to stay on the computer for more than a few weeks.
Installers give access to our devices in an intimate way that, as a programmer and computer-savvy user, is a nuisance.
Even if it doesn't need an installer, if your program requires admin privileges to run, that'd ding you a UX point or two as well. The exact amount (if any) will vary from judge to judge, but each judge will at least be consistent with all the entries they review.
It won't completely nuke your score though - First Time User Experience is only 10% of the scoring, and you're unlikely to lose all 10% just from an installer. You can make up for it with other FTUX improvements, if you have to, or even just polish your art and sound more to get extra points in those categories.