Around 85% of insurance claims linked to the Wang Fuk Court fire have now been settled, Hong Kong’s Insurance Authority (IA) said on Tuesday.
As of 3 February, insurers have handled 1,032 claims, around 85% of the total, with payouts reaching nearly HK$510 (approx. US$65m) to date.
By segment, 863 of 1,030 general insurance claims (84%) have been settled, accounting for roughly HK$450m. Life insurers have settled 169 of 188 claims (90%), valued at approximately HK$60m.
“The IA is aware that a majority of claims have been successfully settled based on the principle of treating customers fairly, and the remaining claims call for on-site inspections and damage assessments,” Clement Cheung, Chief Executive Officer of the IA, said.
The fire broke out on 26 November at the Wang Fuk Court apartment complex in Tai Po District and quickly spread, engulfing seven of the eight 31-storey towers and killing at least 159 people and injuring 79.
From a commercial insurance perspective, China Taiping Insurance (HK) was the sole carrier for the estate’s key building insurance policies, including its contractor all-risks (CAR) policy for ongoing building renovations. Taiping Re, China Re, and Qianhai Re were among the reinsurers that (Re)in Asia identified as providing coverage for the building.
S&P estimates that the combined ratio for Hong Kong’s P&C sector will rise to 97-98% in 2025 as a result of the blaze.
