Looks like we have a small bug here. If you select: Hide on selected & Logged in users the widget is not being hidden. We will fix that shortly. I did the desired effect by selecting: Display on selected & Logged out users – it is being hidden. This happens only if you don’t apply any more conditions (like Front Page, Blog etc.)

So generally, I have set it the way you like it to (this widget is not being displayed for logged in users) – use this combination please, before we make a fix and update the plugin.