While developing a recent Camtasia project, I needed to split a large video into multiple segments. The video I was given included mouse movement and plenty of screen clicks. Between all of those clicks, I needed to freeze the screen background for 5-10 seconds so I could explain a concept via callouts.
One way to accomplish the task is to export a specific part of the video as an image, import the image into Camtasia, and add it to the Timeline.
To begin, position the Playhead on the Timeline at the exact moment in time that you need to use as an image.
In the image below you can see the part of the video that I need to essentially freeze for a few seconds.
Choose File > Produce Special > Export frame as.
Name the file, select a File type (you can save as a bitmap, GIF, JPEG, or PNG), pick a save destination, and then click the Save button.
And that's it. The exported frame is an image and can easily be added to the Clip Bin and then the Timeline. There won't be any visible difference between the frame you exported and the video itself, except you'll have more timing controls over the image than the video.