I tried the unplug option for a day. I missed having the lights flash with the alarm. Therefore, I tried the 'pull the yellow wire' method and it works like a charm. Headlights do not flash with the alarm or turn on with twilight sensor. However, the parking lights do flash with the alarm and they come on with the twilight sensor, which is fine for me. I just have to turn the headlight switch to turn on the headlights. This should help prolong the life of my HID headlights. I already burned up one ballast from the headlight flash, I suspect.
Thanks all for sharing this information!