I have reviewed through this behavior in a local test instance, however am seeing the "insert video" option available when creating blogposts:
As such I would suggest crating a case in your secret support group here in the Jive Community as a next step so that the next available support engineer can investigate directly in your instance.
When you submit the case, if you can please provide the following:
1. Username of the user you are seeing this behavior with
2. URL for a blog where you are seeing the beahvior