<< I stay up alot at night wondering what the hell I will I do if a HDD failed >>
Windogg, you have a responsibility to point out potential areas of failure and how they can be overcome. If those in charge decide not to spend the money, after you have clearly spelled out the risk, that is up to them. You shouldn't worry about it, let alone stay up at night! Yes, you'll have to fix it, and you'll get hassled about how long it's taking. But to worry about it even before it happens? That's for the owners to do, not you.
Same goes for RAID, a UPS, tape backups, or any other item. You have to point out the risk, and the cost of dealing with it. After that, you're done.
Believe me, I know exactly what you are talking about, but I eventually realized I'm not the owner, and truthfully - if the whole system burst into flames today, I'd do my utmost to put everything back together as quickly as possible, but at the same time I would not be worried about it, nor would I sweat it out. My job is to identify risk and to propose solutions. Those above me decide which risks they are willing to take. After that, why should I worry? I've done my job and more.