having resists spells makes it so now and then you dont get the effect at all . or in some cases a lesser effect . in pvm, say you'll get poisoned . you can hear the poison sound . but then you get a little message saying "you feel yourself resisting the affects of magic" (or something like that) , and your health bar doesnt turn green. so yay , thats one you "resisted".
other times you get the message but you have no idea what you resisted . doesnt mean it didnt happen , you just may not notice it cause monsters dont display words of power when they cast.
having resist in pvp is a whole other ballgame . you can see that someone tried to do this or that and nothing happens. other things, paralize for instance, are scaled. if you para someone with 120 resist hes not even going to slow down . you para someone with mid range resist hes stuck for a few secconds and then gone . paralize a zero resist guy and hes stuck there a long time.
many of the new templates are quite cramped and its easy to get tempted into just skipping resist (and on some of my strictly pvm guys ill risk it) but in the pvp world , if they find out you have no resist , you can be sure they're gonna play to it.