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Yes, it is not an option but can be enabled on all Z4s I believe. I think I could have even enabled it on my '04 M3 (never did though, didn't want to have to deal with the dealer....)
It is only for when you just move the lever in one direction or the other to signify a lane change as if you were on the freeway changing lanes; when you do not move the lever past the detent where it then stays on. I do not believe it will disable the turn signal when you move the lever past the detent as in the situation when you are sitting at an intersection getting ready to make a turn and have turned your turn signal on.
You could get the stealer to make this option active for you, but I don't think it is going to fix your particular problem. When the turn signal is active from moving the lever past the detent, so that the signal is on until you make a turn or push the lever back, I do not think there are any mods available to defeat the turn signal.
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