By Gaurav Raghuvanshi And Jason Ng 

Malaysia on Thursday formally declared that the disappearance of Malaysia Airlines Flight 370 was an accident and all 239 people on board are presumed dead, a step intended to help victims' families process compensation claims.

The search for the Boeing Co. 777-200ER jet that disappeared on March 8, 2014 while en route to Beijing from Kuala Lumpur will continue, Azharuddin Abdul Rahman, the director general of the Department of Civil Aviation of Malaysia said. Australia is overseeing the search by private contractors.

"Malaysia is committed to continue all reasonable efforts to bring closure to this unfortunate tragedy, with the continuing cooperation and assistance of the governments of China and Australia," Mr. Azharuddin said.

The declaration was made to satisfy legal requirements for the relatives of the victims so they can gain access to loved ones' bank accounts, said Martin Eran-Tasker, technical director at the Association of Asia Pacific Airlines.

"This is more for lawyers and courts, not for the families as they are going to accept none of this till there's evidence," said Mr. Eran-Tasker.

Malaysia expects to release an interim statement detailing the progress of the safety investigation on or around the one-year anniversary of the disappearance, Mr. Azharuddin added.

Write to Gaurav Raghuvanshi at gaurav.raghuvanshi@wsj.com and Jason Ng at jason.ng@wsj.com

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