i think i have a solution for you. Although Godaddy refused to assist since this was OOS for them however a really nice tech supp person went a step ahead and notified a very simple solution.
Have you tried changing the permission to 755/744 probably using filezilla or another FTP client.
https://codex.wordpress.org/Changing_File_Permissions
or the youtube video:
https://www.youtube.com/watch?v=rRrG3K4vjsk
if you are using this method then do not recurse into subdirectories. gointo the upload folder and change permission on each folder manually using the same change file attributes method (right clicking and all)
with my i was changing on the root of uploads but my folders inside (even though i was checking to all folders) was not working.
hope that helps. There is another manual way of fixing this in the myphp admin in godaddy but thats a complex approach. Hope it helps. Once i changed permissions via my ftp. i am able to upload images no problem
