What does Proverbs 14:26 mean?

Reverencing the Lord builds confidence. Neither difficult personal circumstances nor alarming world events can shake the believer's assurance that God is in control. The word translated "fear" here implies respect and reverence; while it includes some sense of fright or alarm, it does not mean horror, or panic, or terror (Proverbs 1:7). A good example of the difference between these is stated by Moses in Exodus 20:20. There, he both tells the people "do not be afraid," then encourages the reverent "fear" of God spoken of in proverbs such as this.

In a believer, healthy respect for God and His truth helps a person avoid the consequences of sin in their earthly life (Proverbs 12:28; 13:13–14; 14:27). It also encourages confidence that all wrongs and suffering will be corrected in eternity (Proverbs 10:29–30; Revelation 20:11–15). In Romans 8:28 the apostle Paul writes "that for those who love God all things work together for good, for those who are called according to his purpose." Later he lists things that cannot separate us from God's love. He includes tribulation, distress, persecution, famine, nakedness, danger, and sword (Romans 8:31–39). In addition to this assurance, the Bible contains numerous commands not to fear. Knowing that God cares for us, believers can cast all their anxiety on Him (1 Peter 5:7).

Furthermore, the children of the person who reverences the Lord enjoy the Lord's protection. Scripture is clear that each person is judged for their own actions (Ezekiel 18:4, 20). Children who follow in the footsteps of their parents, however, can anticipate the same judgment (Deuteronomy 5:9–10; 6:4–9). The point made here is that the teaching and example of a God-fearing parent influences the children to reverence God (Proverbs 22:6; Ephesians 6:1–4). When they do so, those children can share in the same confidence as their parents. They know the Lord has everything under control.