Tax liability from litigation settlement?

I recently received money from an arbitration settlement. The reward was based on a 1998 Earthquake insurance claim that was never resolved. In my original court filings, I had only asked for $$ to cover damages to the rental property I own. In the settlement, the Insurance company did not admit to fault. I have already spent $$ over the preceding years to repair my property. The reward I received covers the expense I have already incurred and provides for additional funds for possible future improvements to the rental property that I may, or may not incur. What portion of the reward do I have to pay taxes on? Does it only matter it is compensatory vs. punititive? I have to pay taxes on punitiive and not compensatory?