In this paper we present an adaptive technique that combines forward error correction (FEC) with channel state estimation (CSE) and automatic repeat request (ARQ) for packet loss recovery in wireless indoor multicast systems. The novel aspect of the technique is its ability to achieve significant packet throughput with high data reliability, to avoid feedback acknowledgement (ACK) implosion, as well as to reduce and flexibly to limit delay for real-time applications. We suggest a set of criteria to measure the multicast performance and simulate a simple two-state indoor channel model. The simulation results show that the proposed technique significantly improves the communication quality and channel efficiency, to compare with traditional FEC and ARQ techniques.