I found a fix for this. After searching for the old drivers for my webcam and finding that there were no windows 7 editions of those drivers i finally found a way to update the driver via windows update. When you go and update your driver, choose search the web via windows update and it should be able to find the right driver for you.
Some symptoms that I had while my driver wasn't installed was the device being titled as "CIF Single Chip" and drivers were known.
Hope this helps you.