Insurance losses from the devastating earthquake that struck Italy last week are likely to be limited because most homes in the region are not covered for seismic events.

Fitch Ratings estimates insurance losses will be €100-€200 million ($145-$290 million).

The figure reflects low density of population and businesses, and limited coverage, while the declaration of a state of emergency means certain losses will be covered by a state fund, the ratings agency says.

More than 290 people died when the 6.2-magnitude quake struck about 100km northeast of Rome, destroying buildings in towns including Amatrice, Accumoli, Norcia and Pescara del Tronto.

Catastrophe risk management group RMS says many smaller towns and villages in the region contain old masonry rubble houses that are very vulnerable in earthquakes.

Despite the country being prone to quakes, residential insurance cover for such events is not widespread.

“It is clear there is little higher-value property in the towns and villages affected by the area of stronger shaking, which will limit insurance losses because residential properties are generally uninsured for earthquake,” RMS Chief Research Officer Robert Muir-Wood said.

Catastrophe modeller AIR Worldwide says provisions were introduced to limit excessive building flexibility in 1996, but seismic codes in Italy did not change significantly until 2003.

Fitch says its estimate of insurance losses includes €40-€80 million ($60-$116 million) for primary insurers and €60-€120 million ($87-$174 million) for reinsurers.

More than 300 people were killed in a similar-magnitude 2009 quake south of Amatrice. Fitch says insurance exposure was higher in that event, with total losses about €250 million ($362 million).

The latest quake was also close to the location of a 1328 shock that RMS says destroyed Norcia and caused more than 4000 deaths.