I should have been more clear with my question:

I will not just cover over anything that is wet.. I will remove
everything that is wet.

My real question is, should I then rebuild with tile.. or rebuild with
a fiberglass insert. What are pros and cons of each?

I could take or leave aesthetics of tile, and if a fiberglass can do
the same job cheaper I am leaning that way.. but again, looking for
others opinions on what is the best way to rebuild after I repair all
wet damage.