Insurance payments for water damage from January 2016 to May this year accounted for about half of total claims, which averaged about HK$15,000, according to insurance company AXA.
Almost 80 percent of Hong Kong residents did not purchase home insurance although 33 percent experienced home accidents during the past 12 months, according to an AXA home- protection awareness study.
The survey shows one third of the respondents have experienced home accidents in the past 12 months, with water seepage and burst pipes the most common.
While 40 percent of respondents had not thought about the need of purchasing home insurance, they estimated that the average value of personal valuables kept at home amounted to HK$400,000.
The insurer said gold and precious metals, jewelry and watches were the most common valuables kept at home.
Tenants should also protect their belongings by purchasing home insurance even if their landlords have purchased insurance for the same unit, according to AXA Hong Kong chief distribution officer Agnes Choi Heung-kwan.
About 70 percent of respondents were unaware that accidental damage caused by domestic helpers, decorators and guests were also covered by home insurance.
Choi said the survey showed that majority of Hongkongers were lacking adequate understanding of coverage provided by home and fire insurance, and the study aimed to raise their awareness of home protection.