Yes, travel insurance for Narsarsuaq is essential, and the honesty here is straightforward: this is a tiny settlement in South Greenland, built around a former wartime airbase, and it exists almost entirely to serve travelers heading into the surrounding fjords rather than to support a resident population of any size. There is no meaningful hospital here, and the logistics of getting help if something goes wrong are the whole point of carrying real cover.
Medical evacuation is the honest core of why insurance matters in Narsarsuaq. Anyone with a serious injury or illness is typically flown first to Nuuk, Greenland's capital and the territory's main hospital hub, and from there, cases requiring more advanced treatment are often moved onward again, commonly to Reykjavik in Iceland or to Copenhagen in Denmark, since Greenland is a self-governing part of the Danish realm with close medical ties to both. That is two evacuation legs on top of the original incident, and a policy with a genuine, uncapped medical evacuation benefit is not optional here the way it might be for an easier destination.
Weather disruption is just as real and just as worth naming plainly. Narsarsuaq's airstrip depends heavily on visibility and wind conditions, and flights in and out are cancelled or delayed with some regularity, which can strand travelers for days rather than hours; trip-delay cover and cancellation cover matter as much as medical cover for this destination, and travelers should expect flexibility in their itinerary rather than tight onward connections.
There are no named adventure activities to insure against beyond general fjord travel and hiking, so avoid paying for cover aimed at activities you are not doing. Keep any documentation of flight delays or cancellations, and check whether your existing health cover extends abroad and to Greenland specifically, since this is not a destination where you can safely assume a home plan simply applies.