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http://www.timesofisrael.com/only-the-nuclear-option-can-work-against-iran-former-idf-chief-says/ well, if a senior IDFAF officer states it, I'd seriously consider it to be true :) (never mind the standard anti Semitic rants in the comments section to the article)
Now, Israel has always had an official policy to neither confirm nor deny the existence of nuclear weapons in their arsenal, so unless they actually use one there's no way to ever be certain. But they are known to have the capability to produce them (the technology, reactors, etc.) and certainly a clear incentive, being surrounded by hostile nations (including at a distance Iran) who would like nothing better than to wipe out the Jewish state and its population, several of which countries are known or strongly suspected of having extensive stockpiles of chemical weapons and/or to be working on their own nuclear weapons (like Iran).
http://rense.com/general26/historw.htm has a timeline and some estimates.
Of course with so much about Israel on the web being seriously questionable because of the anti-Israeli and anti Semitic propaganda which is so rampant, it's very hard to get objective data (a Google search found mostly sources that were little more than rants about "evil Jews wanting to destroy the world" and such, one source even claimed even Israel has used nuclear in combat against civilians, clearly bogus but makes for great propaganda if your audience are illiterate peasants in Syria or Iran).
http://www.britannica.com/EBchecked/topic/421827/nuclear-weapon/275665/Israel the Brittanica lists the existence as fact, and can usually be relied on.
As to it being no concern, remember that Israel is a peaceful nation that doesn't threaten its neighbours, employs its armed forces only in self defense, and even then uses great restraint to prevent civilian casualties where possible. They have also publicly stated they will not be the first to use weapons of mass destruction in the region, though you might take that as being meaningless as within the larger region chemical weapons have already been used in prolific amounts albeit not against Israel.
The main concern therefore becomes ensuring that Israel never comes into a situation where they have to choose between using nuclear weapons or being destroyed themselves, exactly the reason why Israel has a nuclear arsenal in the first place.