Hong Kong's insurance sector is fast-tracking and streamlining with "flexible handling" the claims process for people whose lives have been left in ashes by the conflagration in Wang Fuk Court in Tai Po.

Speaking on RTHK's BackChat programme, Selina Lau, chief executive of the Hong Kong Federation of Insurers, also noted that some members had already reached out to the victims.

She added that the insurer for the estate, which is home to more than 4,600 people, has already "taken action" over their insurance coverage.

"For this [renovation] project, we confirm that they have taken out property insurance, and that will be paid, definitely," Lau said.

"But the process may be a little bit longer because the [assessment of the] fire is still in progress.

"If you have household insurance and fire insurance in place, please contact your insurer to let them know you are one of the victims and they will process the claims as soon as possible."

According to documents released by the estate's incorporated owners' committee in December, state-owned China Taiping Insurance (HK) is providing coverage as part of a two-year policy, which expires at the end of 2026, that allows for HK$2 billion for property and fire-related damage. The premium for the policy is HK$337,737.

The coverage also includes public liability of HK$20 million per death or property loss and other related coverage, as well as HK$315.6 million for "contractors" risks and HK$50 million of third-party liabilities.

Shares of China Taiping dropped 2.2 percent this morning after slumping up to eight percent on Thursday.

In a statement, the state-owned company said that it had "promptly activated its emergency response mechanism" and would actively process insurance claims and carry out customer services in accordance with the contract.

It said it'll adhere to the principle of "quick compensation where possible, full compensation where due, and reasonable advance compensation" and do its utmost to assist affected residents in getting through the difficult time.

Lau noted that other insurers have also been speeding up and simplifying the claims process over life, medical and home-contents policies taken out by residents.

"For example, if you want to process a life-insurance claim, in the past you had to present a death certificate, but in this case we'll just waive the death certificate and speed up the process of the claims.

"For household insurance, in the past under a normal situation you'll have to replace it and present the new receipts to the insurer to pay up for the replacement, but now most of the insurers have waived the process."

Lau added that some insurers are also offering a lump-sum payment as an "allowance" for purchasing home appliances to alleviate their burden for the time being.

A special dedicated homepage has also been created on the federation's website for victims to access insurance-related information and emergency hotlines, she added.

The veteran risk-management professional urged all construction companies to also properly manage risks in carrying out projects.

"While we are trying to compensate as quickly as possible, if the upstream players in this whole process are not doing things properly, the risks will still be there," she said.

"Compensation is one thing, but lives cannot really be 'compensated', right?"

Several of the city's banks, including HSBC, also noted that Wang Fuk Court residents would still be able to access their accounts even if they had lost their Hong Kong identity and ATM cards in the fire while Bank of East Asia said it's extending opening hours at its Tai Po branch.