Israel is no doubt one of the planet's top must do list destinations for travelers from all over the world. Birthplace of the world's major religions and at the same time, it is also a diverse, vibrant, trendy, and modern country with great night life that would be a top tourist destination even without its ancient biblical roots.
And yes even presently Israel is relatively a safe destination.
The conflict is been largely magnified by the media. When you compare the crime and terrorist rate of France, Britain and United States versus Israel, you will probably start packing. Remember Moses postponed his visit to the holy land, at the end he never got to see it.