We don't have insurance, and the house is paid off (well, we never owed on the house, but the land is paid off). But it's not by choice; we have to get it just a little more finished before we can insure.
The situation is slightly nervous-making, so I think we definitely will insure. For us, with 25 acres, the liability insurance for crazy trespassers who get hurt and decide to sue is probably worth as much as the fire insurance. Not worried about theft insurance - don't think we have anything I'd file on, but it would be nice to be able to rebuild on someone else's dime after a fire.