"Log In/Register" Appearing While Logged In

Login options display as Log In/Register when they should be My Account/Log Out while using an ajax login plugin called Ajax Login/Register. After a user logs in, the display should change, but it does not.

Layout updates are loaded dynamically in the code and not through layout files. To address this, Separate Cache Copy Per Customer Group must be set to Only distinguish between logged-in vs logged-out.

Please note: In most cases, ajax login does not require this setting. This particular plugin, however, handles layout loading dynamically, which requires a different approach.