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Preface:
There is absolutely no good reason to disable this service in pre-release, or released software. If a program or computer crashes, then once the computer recovers it makes a detailed report (with no personally identifiable information it) about how the crash happened and sends it off to Microsoft. They then look over it, and try to fix it, which makes a better OS for everyone. This is not a recommended procedure.

Method:
Click the Start button, and right-click My Computer and click Properties from the pop-up menu, In the System Properties dialog that has come up, click the Advanced tab, and then the Error Reporting button. In the next dialog click the Disable radio button, and optionally, so you don't get any notices of system failures at all, uncheck But notify me...
Now press OK, Apply, and OK, and Error Reporting has now been disabled.