Flipping through your albums on your iPhone is really neat. You are able to see the album covers of the music you have downloaded, which makes it easier to see what you have available to listen to. Some of your album artwork may download automatically, but if it doesn't, you may have to enable it manually. If you still can't get the artwork for some of your albums, chances are that album isn't in the iTunes library and it is unavailable.
Open your iTunes program and select the "Advanced" tab.
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Click on "Get Album Artwork." This will allow iTunes to search its databases for the artwork needed.
Switch your view of iTunes to the second option so you can see your songs next to the artwork. Look for albums that still don't have artwork.
Drag the artwork into the "Now Playing" square for the albums that don't have artwork that was automatically located. You must do each album manually. If that doesn't work, right click the song that needs artwork and select "Get Info," which will have the artwork for the album inside of it and will allow you to drag and drop it where it needs to be.
Sync your updates to your iPhone by plugging it in using the USB cord and clicking "Sync."
Unplug your iPod once it is finished updating.