Uploading images

I’m wondering if there’s a feature that allows you to browse for the image to add to your post, instead of just entering the link for one. I have my images in a separate directory in uploads, so I want to browse to the image and select it.

Also, is there a way to link to other files, like documents?

If not could you add this feature or integrate some type of file browsing plugin?

http://wordpress.org/extend/plugins/tinymce-advanced/