Backpackers are notorious for being a frugal crowd, however scrimping on backpacker insurance is never a good idea.
Through the nature of constantly travelling through foreign lands there is a high probability of backpackers losing possessions or having them stolen. It can be a nightmare trying to recover them, especially in countries where English isn't the main language. Many countries also don't have free health care and if you have an accident or fall ill while abroad you could be left with a backpack full of bills. The risks are just too great to avoid getting insurance if you're a backpacker.
For the price of a bus ticket it's possible to cover yourself against the risks you will inevitably face as a backpacker. There are many companies who offer insurance to backpackers. Insure and Go are the UK's largest direct travel insurance providers and a good place to start looking for a quote. They offer all-inclusive travel insurance to backpackers including trip cancellation insurance and holiday insurance. Other features can also be availed of, such as temporary car insurance.
Having backpacker insurance means you can enjoy your time away without having to worry about any 'what ifs or buts'. Should the unthinkable happen, at least you will know that you're not on your own in a strange country.