You have to remove the water pump, which means you have to drain the coolant and you may have to loosen the oil pan to get the timing cover free.
In my experience, the covers leak because the aluminum corrodes untill there is no sealing surface left. If it looks bad when it is removed, you have two options, replace it, or have it welded up. Welding isn't much cheaper than the new cover and if it gets warped, the welder isn't going to give your money back.
If it were me, I would grab my tools and head to the 3 local self serve wrecking yards and pull all of the 5.0 covers untill I find one that looks good. If you have time and local yards, that can save some money. Otherwise, ebay might be a good place to look.
You don't need to change the chain, but on an '89, it's probably a good idea. My personal favorite is the rollmaster double roller with billet cam gear and nine keyways. I bought one for about $100 a few years ago. I think FTI carries them. The machining quality is excelent, the chain is good and it went in with zero problems.