The Topgun Racing Honda rider came off his bike at Fisherman's bend on the sixth lap and was hit by the barriers on outside which made him lose his helmet, reports the Guardian.
In the wake of the horrific crash, the race was immediately red flagged and Hegarty was taken for treatment.
However, the 31-year-old succumbed to injuries before arriving at hospital.
A statement issued by race organisers on Twitter confirmed Hegarty's death while en route there.
"The Macau Grand Prix Committee extends its deepest sympathies to the family and friends of Daniel," the statement read.