A: 
System.Security.Policy.PolicyException: Execution permission cannot be acquired.

VSTO deployment requires you to grant trust to the deployed solution dependencies. "Solutions to Common Issues encountered during Outlook Add-in development", and "Deploying Visual Studio 2005 Tools for the Office" are some articles that go through some of the different ways that Code Access Security (CAS) can be modified to get VSTO solutions work.

Bermo