The word is becoming more acceptable than ‘Gay’ especially for homosexual woman and bisexuals who often object to being called’ gay’ which is used more often to describer gay men. It is still often used (just as ‘gay’ is) as an insult to queer people, but is taken with a pinch of salt these days.
The Queer Youth Alliance
Queer as Folk
2.- A person who is not heterosexual. The word was meant as an insult but has been reclaimed by many non-heterosexual folks, many of whom use it to describe one another. It is still often considered rude to use the word "queer" in this context unless you self-identify as "queer".