It is a wise idea to have travel insurance when travelling to Nepal. Many travel agencies and tour operators will include this as a requirement for you to book onto an organized tour.
When looking at travel insurance policies make sure that the activities that you will be doing are covered under the policy. Some policies do not cover high altitude trekking and adventure activities. Making sure that these are covered will ensure that you do not have any problems later on.
Choose a policy that covers medical and emergency repatriation, including helicopter evacuation for trekkers and general medical evacuation.
Having a good travel insurance policy will mean that you can receive fast quality medical care if required. Make sure that you make copies of your insurance documents and forward them to your tour organizer and also to family in case of emergency.
While theft is not a big problem in Nepal insuring your personal belongings and valuables will ensure that you can claim any loss or damage on your holiday if needed.