Are disaster benefits taxable?

1

In this video about how things are now in East Palestine, Ohio, 18 months after the train derailment and hazmat cleanup,

at 10:00, https://www.youtube.com/watch?v=wJFLMWVfMQo

victims say their home was unlivable, they paid for a hotel, Norfolk Southern reimbursed them for hotel, food and gas, and sent them a 1099. Is that really taxable income??? Seems wrong to me.

What if a tornado made their home unlivable, would getting reimbursed for hotel by their homeowner’s insurance also be taxable?

2

It seems odd to me…those payments were intended to cover your loss. But I am not by any means a tax expert.

I know that when my son was born, and I received short term disability, it was not taxed. But that was over 38 years ago. And the life insurance I received after my husband died 10 and a half years ago was also not taxed.

3

I get 1099s on my TSP Roth disbursements. Doesn’t mean they are taxable.