This report uses data from the 1989 National Health Interview Survey to estimate health insurance coverage of children and nonelderly adults with disabilities and their utilization of physician and hospital care as a function of health insurance status. In part 1, national statistics on disability and insurance status are provided for different measures and categories of disability. Estimates of the percent of the population with various types of insurance coverage or with no insurance coverage are provided by sociodemographic and disability status. In part 2, logistic regression models controlling for sociodemographic factors measure the impact of insurance on utilization of health services. In part 3, the relationships of poverty, employment, and disability with private insurance, public insurance, and no insurance are examined in the context of policy options. Among highlights of the report's findings are: (1) an estimated 11.5 percent of the 35.3 million uninsured people in the United States have some activity limitation; (2) adults with activity limitation are slightly more likely than those without limitation to be uninsured; (3) men with severe disability have more access to Medicare than women, but women have more access to Medicaid; (4) children with activity limitation are as likely as those without limitation to be uninsured (about 15.8 percent); and (5) uninsured adults with disabilities have from 19 percent to 44 percent fewer physician contacts than similar adults with insurance. Extensive tables detail the study's findings. Appendices include standard error information and the questionnaires used in the surveys. (Contains 43 references.) (DB)