This paper proposes a model of the relationship between values, in particular health value, and adjustment to illness The importance of values as well as the need for value change are described in the literature related to adjustment to physical disability and chronic illness An empirical model, however, that explains the relationship of values to adjustment or adaptation has not been found by this researcher Balance theory and its application to the abstract and perceived cognitions of health value and health perception are described here to explain the relationship of values like health value to outcomes associated with adjustment or adaptation to illness The proposed model is based on the balance theories of Heider, Festinger and Feather Hypotheses based on the model were tested and supported in a study of 100 adults with visible and invisible chronic illness Nursing interventions based on the model are described and suggestions for further research discussed