They are similar, but "isolated" is much more common. "Insular" is more formal, and is also an adjective form of "island."
Some examples"
"I feel isolated." 对
"I feel insular." 错
"He is an insular person." 对 (他不常离开家乡,所以不了解别人的生活,或者不喜欢外国人)
"He is an isolated person." 奇怪
"Hainan is an insular province." 对