@pchicke I know it's complicated but the Insurance company already sent the withholdings to the IRS and NYS. and that can't be fixed.
When you state they sent 4 checks to each of the 4 sisters - did each sister receive EXACTLY the same amount - - if yes, then THAT is complicated in any event because the one sister is going to get a fat refund that belongs to the other there in any event.
The insurance company requires the SSN to report to the IRS. While paying taxes is voluntary and we are all supposed to the right thing, those 1099-Rs (and other similar forms) is the way the IRS keeps everyone honest. They check those forms against your tax return, if your tax return shows more income than the sum of the forms (1099s, etc.) (and it would for 3 sisters), they do not care! But if your tax return shows less income than those forms (and it would for the one sister), THAT is where the IRS focuses its reviews and audits).
