Addiction science has developed powerful models of reinforcement learning, cue reactivity, neuroadaptation, and impaired control. However, in clinical consultations, families, and in the private silence of relapse, many people describe something even more basic than craving: the loss of an inner home. They say “I feel empty”, “I can’t stand being with myself”, or “I have betrayed who I am”. Sometimes they choose a simple and devastating phrase: “my soul is ill”. This narrative review treats that expression as clinically meaningful, not metaphysical. We translate “illness of the soul” into five operational psychological dimensions directly relevant to addictive vulnerability and recovery: coherence (value–action alignment), dignity (moral worth protected from humiliation), care (self-compassion, boundaries, and prosocial concern), truth (contact with inner experience and reality), and purpose (meaning and direction). We integrate evidence from negative reinforcement and self-medication models, self-determination theory, research on shame and self-stigma, psychological f lexibility and experiential avoidance (ACT), compassion-focused approaches, and the emerging literature on moral injury. From this synthesis we propose the Meaning–Dignity Disconnection Model of Addiction (MDDMA), a clinically usable and empirically testable loop in which loss of meaning and injuries to dignity intensify shame, avoidance, and isolation, increasing reliance on substances or compulsive behaviors as rapid regulation strategies. We argue that recovery becomes more durable when treatment complements symptom reduction with restoration of meaning, moral repair, rebuilding of dignity, and reconnection with caring relationships. Beyond individual therapy, the model has implementation implications: programs that protect dignity, avoid humiliation, and offer reintegration pathways after slips may reduce dropout and relapse by preventing shame-driven secrecy. We conclude with testable hypotheses, a measurement map, and practical guidance for clinicians and programs seeking to protect dignity and strengthen long-term recovery capital.