There's still a bug: the glass with water does not distort the checker pattern in the background at 24:12.
But now that is problem is solved a director will come along and say... I want a scene with a big glass of water and the camera will zoom in on it and will see the monster refracted through the glass.
They train their model in a pretty straightforward way, it can also be used to capture the distortion as well, just use a non-monochrome (possibly moving) background optimized for this. It's a matter of effort and attention to detail during training (uneven green screen lighting, reflections, etc), not fundamental impossibility
That distortion to the new background would have to be added in by the artist.