Ok, so the reason for their vagueness is they haven't tracked down the bag yet.

I know it has been almost a week but I would not lose hope yet. Ground staff are horribly overloaded right now due to people out sick and roles still to be recruited. There is probably a huge backlog of bags to be processed.

Of course she needs to sort herself out medication wise which is a hassle but any costs can be passed on to Lufthansa. Keep those receipts.