I've used a table valued parameter before, but I'm not sure how to use xml.
I do not know the best way to format my xml but I think I would try this:
<Car>
<Name>BMW</Name>
<Color>Red</Color>
</Car>
Then I would pass the xml (one or more car) to the stored procedure and it would insert one row for each car I pass (with the name going in a name column etc..)
Does anyone know how to write the stored procedure? (I'd usually try it myself but I don't have much time for testing T_T)