I have no experience of disaster relief and I only know what has been said on this forum. What is claimed sounds like a clear insurance fraud, to me .
a key principle of insurance is indemnity.The purpose of the indemnity principle is to set back the insured at the same financial position as he was before the loss occurred- no gain no loss.
If my roof is storm damaged and the “ Brothers “ repair it for free , I have suffered no loss. I cannot claim on insurance. If the householder makes a claim based on commercial rates ... it is fraudulent.