Measure the length and the circumference of flue that needs to be insulated with a tape measure.Add approximately six inches to the width of the flashing to allow the flashing to fit around the flu without touching the pipe..
Cut the measured length of aluminum flashing to fit around the flue. Score the aluminum with a utility knife and then bend the aluminum back and forth on the scored line until it breaks.
Make one-inch long cuts at the top of the flashing approximately an inch apart from one another to make tabs to keep the rest of the flashing away from the pipe. Bend the tabs down at 90-degree angles.
Run a line of high-temperature caulk to the edges of the hole in the wall so the flashing can be attached. Form the aluminum flashing into a pipe shape around the flue and press the end without the tabs down into the caulk.
Seal with caulk the seam where one edge of the flashing meets the other around the pipe. Wait 2 to 3 hours for the caulk to completely set.
Tuck loose insulation around the hole in the wall next to the flashing using rock wool or fiberglass insulation. Secure the insulation with twine or wire every 18 to 24 inches by wrapping it around the insulation and tying it in place.