This paper is concerned with the reliable design problem for linear systems. A more practical model of sensor and actuator failures than outage is considered. Procedures fur designing reliable controllers are presented for the case of sensor failures and actuator failures that can be modeled by a scaling Factor and a disturbance. The resulting control systems are reliable in that they provide guaranteed asymptotic stability and H-x performance when all control components (sensors and actuators) are operational as well as when some control components experience failures. A numerical example is also gi v en to illustrate the design procedures and their effectiveness.