The following links will assist you with your electrical question.
How to lay attic insulation around wires and conduit.
Rub colored chalk on the outside coating of the electrical wire running through the stud cavity.
These will allow you to insulate tricky areas and the foam will fill whatever voids you have perfect for pipes around wiring and around electrical boxes.
Push the batt.
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The attic wiring should be protected and secured to ceiling joists or other wood structural supports.
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Cut the batt carefully to fit around obstructions with no gaps.
Make sure you do not use these products in electrical boxes or around chimneys or other hot areas as they are flammable.
Yes this should be corrected and it would be good to have the wiring and all the circuit connections inspected as well.
You can probably reduce the number of notches you need to cut for the wiring this way and it would also raise the new floor high enough over the wires that you don t need to put a steel plate over each wire.
Across the existing joists perpendicular to them rather than directly on top of them in the same direction.
How to install insulation around electrical wiring.
Tear the sheet across the width instead of tearing it lengthwise.
First you can tear or cut the insulation sheets in half and lay half behind the wire and half in front.
Make sure that the entire surface of the wire.
There are two ways to insulate around wires.
Hold the bottom of an insulation batt even with the bottom of the stud cavity.