As a key component in overhead cables, insulators play an important role. However, in the process of insulator inspection, due to background interference, small fault area, limitations of manual detection, and other factors, detection is difficult, has low accuracy, and is prone to missed detection and false detection. To detect insulator defects more accurately, the insulator defect detection algorithm based on You Only Look Once version 5 (YOLOv5) is proposed. A backbone network was built with lightweight modules to reduce network computing overhead. The small-scale network detection layer was increased to improve the network for small target detection accuracy. A receptive field module was designed to replace the original spatial pyramid pooling (SPP) module so that the network can obtain feature information and improve network performance. Finally, experiments were carried out on the insulator image dataset. The experimental results show that the average accuracy of the algorithm is 97.4%, which is 7% higher than that of the original YOLOv5 network, and the detection speed is increased by 10 fps, which improves the accuracy and speed of insulator detection.