With the increasing demand for electricity, the power grid is undergoing significant advancements. Insulators, which serve as protective devices for transmission lines in outdoor high-altitude power systems, are widely employed. However, the detection of defects in insulators captured under challenging conditions, such as rain, snow, fog, sunlight, and fast-moving drones during long-distance photography, remains a major challenge. To address this issue and improve the accuracy of defect detection, this paper presents a novel approach: the Multi-Scale Insulator Defect Detection Approach using Detection Transformer (DETR). In this study, we propose a multi-scale backbone network that effectively captures the features of small objects, enhancing the detection performance. Additionally, we introduce a self-attention upsampling (SAU) module to replace the conventional attention module, enhancing contextual information extraction and facilitating the detection of small objects. Furthermore, we introduce the insulator defect (IDIoU) loss, which mitigates the instability in the matching process caused by small defects. Extensive experiments were conducted on an insulator defect dataset to evaluate the performance of our proposed method. The results demonstrate that our approach achieves outstanding performance, particularly in detecting small defects. Compared to existing methods, our approach exhibits a remarkable 7.47% increase in the average precision, emphasizing its efficacy in insulator defect detection. The proposed method not only enhances the accuracy of defect detection, which is crucial for maintaining the reliability and safety of power transmission systems but also has broader implications for the maintenance and inspection of high-voltage power infrastructure.