I do not want to install this latest update. How do I opt to skip this update?

Basically, just don't install it. Apple does not provide an option to skip or permanently delay updates.

Why do you think you don't want to install the latest update?

You don’t. You can simply ignore that badge or reminder to install the update, but Apple’s workd flwo is that everyone adopts every update in a timely manner so there is so way to ignore it.

You may wish to research more. There may be some security patches in the update that could be good to have installed.

But if not or if you choose not to install it then just get used to ignoring the reminders. Bear in mind though if your device has any issues or needs to be restored it will be updated as part of that process.

For future reference there is a way to temporarily remove an iOS upgrade/update so it can't be downloaded at all.

Go into the Settings App, General Settings panel.

In the right hand column, tap Storage and iCloud Usage

At the top in the first block of 3 panels where it is titled at the top of this block Storage, tap the panel that says Manage Storage.

A list of every app will generate itself.

Once this list stops generating, look through this list until you see something like iOS 10.x.x in this list.

Tap on the light gray arrow at the very far right on that iOS 10/11.x.x panel.

It will bring you to another screen that will allowing you to completely delete/remove the entire iOS upgrade/update.

This removal/deletion of an iOS upgrade/update is not permanent and may return at anytime when the iOS upgrade/update at some point will get re-pushed to your iDevice, where you can simply perform this procedure, again.