The first question is – do you really need travel insurance or not? In my younger days, I never bothered, because I just wanted to travel as cheaply as possible. Back then, about twenty years ago, the options were fairly limited and much more expensive than some of the options available today with the advent of the internet.
I have to say, in hindsight, I never really considered the downside of not taking out some kind of insurance for traveling at that time. What would have happened if I had had an accident hiking in a mountain that required an extended hospital stay overseas, for example? I was lucky, but had several close experiences that led me to think about this. On one occasion, I nearly fell 50 metres into a rocky river as I was traversing a ravine after getting lost on a hiking trip in Japan. The point is, it is hard to know what will happen, and you have to ask yourself if the risk of not taking insurance is worth it?
Everyone will have a different take on that, but if you think it is probably wise to have some sort of insurance to protect yourself, then the next question is, what kind?
These days, it is possible to get discount travel insurance online that offers good, basic insurance, without breaking the bank. The reason this form of insurance is so attractive is that you can get far better deals through the internet than through travel agents, though you have to be aware of what it is that you are purchasing. Not all policies are equal.
If you want low cost travel insurance, make sure the basic cost covers things like adventure sports travel insurance, the policy is issued by a reputable company, the excess is reasonable, cancellation costs due to illness are covered, and so on. Also check who the underwriters are, as this will give a good indication as to the reliability of the issuers of the policy.
From my own experience, I would say taking out some sort of travel insurance is money well spent. Most people would like to have this cover at a reasonable price, with good coverage in the most essential areas, offered by a reputable company. This is now quite possible thanks to the savings that can be had with policies available on the internet.