If the 2020 distribution qualifies as a Coronavirus-Related Distribution, as would seem to be the case if you experienced adverse financial consequences because you were required to quarantine, you would generally be better off claiming the distribution as a CRD rather than using the disability exception. A CRD is exempt from the early-distribution penalty, allows you to spread the taxable income over three years and is eligible to be repaid. The disability exception only avoids the early-distribution penalty.
