I found a product like you're describing that was packaged at a quilt show. It was called "Artist Quilt Boards." The only differences were: there was double sided film over the pattern so you peel off the paper covering and use it as the pattern; the pink insulation was glued to a thin board; there was a thin piece of foam that you glue on the back when finished to cover the glue and fabric that you wrapped around from the front; and there was a picture hangar. $12 for 8x10 and $6 for 6x6". Patterns included pouring teaputs, mission-style designs ala Frank Lloyd Wrighht stained glass windows, and of course quilt blocks. They were selling like hot cakes. The vendor must have had an automated method to cut the top layers, and they were selling like hot cakes.