If any shell cmd (:!) is run before let &t_ti .= ..., then the CSI ?2004h escape code will not be sent to the terminal, making this plugin a nop. However, if the shell command appears after let &t_te .= ..., there are no issues.
Reproduction steps:
echo 'silent !true' > ~/.vimrc
cat bracketed-paste.vim >> ~/.vimrc
vim
#Attempt to paste contents that need "set paste" while in insert mode
VIM - Vi IMproved 7.4
Commit: 96451c8