HONG KONG, Nov. 27 -- Hong Kong's insurance sector is bracing for record claims of HK$2.6 billion (RM1.37 billion) following the deadly Tai Po fire, which killed 55 people and damaged seven buildings.

According to the South China Morning Post, industry insiders said the blaze would drive a surge in personal and property insurance payments in the coming year.

"Many insurance companies have already taken immediate action, such as setting up hotlines, as well as simplifying and speeding up the claims process to provide additional help to those affected to cope with the tough times," said Insurance Authority chairman Stephen Yiu Kin-wah.

The Insurance Authority today formed a special task force to ensure insurers accelerate compensation pr...