The partition where you install it must not be over 2GB. Does it boot normally from the AmigaOS3.1 floppies ? Do you have zorro or other expansion cards on the system besides the Blizzard accelerator ? If so remove them, maybe some are causing the problem.
Are you sure the HD is ok ?
What controler are you using, IDE, SCSI ? Is the SCSI chain well terminated ?
Anyway, you should 1st better describe your system for us to be able to help you but those are the things I'd try given your simptoms.