Nobody "needs" LTW. Or an Apple Watch at all, or to be connected at all times.
We survived for many years (believe it or not) before cell phones existed.
The problem is that the world has changed dramatically. If a spouse, significant other, or certain other friends / family can't reach you in what they think is a reasonable amount of time, you're assumed dead.
Joking aside, there are valid reasons to want to be connected (safety, family emergencies, etc..). I upgraded to an LTE version myself and I'll say I absolutely love it.
There are plenty of times where I want to have the ability to be connected without needing my phone for other purposes (web, camera, etc..).
Particularly at work, my phone now stays in my office all day while I'm in meetings, etc.
At home, the phone stays inside even when I'm not (cutting lawn, working around house, sitting on the deck, etc..).
The phone stays home a large portion of the time for quick trips to the store, etc..
Personally, the LTE is well worth the cost of admission and I find it liberating.
If you plan to keep your phone within arms reach at all times regardless, probably far less of a use case.