Click on the tools menu and select acounts, then add and select mail account.
On the first screen just type your name and click next, second screen type your hotmail addres and click next.
On the next screen select your mail server type at the top as HTTP, then just under that setting select hotmail and click next, on the next screen enter your full hotmail address and password, click next (or is it finish!) and you should be good to go.