The little eye is where the string goes. The wings are down during insertion and then released inside the uterus. The only part a phallus should ever touch is the string. There are also a variety of IUDs now and none of them look like the solid metal monstrosity in the picture. They are mostly plastic.

Edit: I guess I should mention as someone who has one that they are not exactly fun to get inserted. Most doctors don't numb you or give you anything to soften the cervix. Take some ibuprofen and suck it up. However, I would never go back to other forms of birth control. No periods. No remembering to take a pill. No crying in the fetal position in a pool of blood and pain. No more hormone induced mania. The list goes on...