BRISBANE, Australia—Nonlife insurance companies have reasonable reinsurance protection against likely losses from the devastating floods that have swept through Queensland, Australia, during the past fortnight, according to Fitch Ratings Ltd.

It still is too early to assess the final cost of the floods, which have led to widespread evacuations in Brisbane, the state capital of Queensland, and left at least 16 dead and 43 missing, said John Birch, a director at Fitch Ratings in Sydney, in a statement.

But there are “comprehensive catastrophe reinsurance protections” in place, he said.

Brisbane-based financial services company Suncorp Group Ltd. has the largest exposure to the Queensland region, Fitch said. The company’s catastrophe reinsurance program provides $5.6 billion Australian ($5.58 billion) of coverage in excess of $200 million Australian ($199.3 million) per event. This coverage likely will be triggered if the flooding in Brisbane and nearby Ipswich is severe, Fitch said.

If time restrictions result in the floods being deemed multiple events, Suncorp’s aggregate coverage, which provides protection for events above $10 million Australian ($9.97 million), likely would be triggered, Fitch said.

Sydney-based Insurance Australia Group also writes a significant amount of primary insurance in Queensland but has a “significant reinsurance program should the crisis escalate or spread further into New South Wales,” said Fitch.

IAG’s reinsurance arrangements are bought on a calendar-year basis, Fitch said. Losses to date in excess of $15 million Australian ($14.95 million) and up to $50 million Australian ($49.8 million) may be covered under the company’s 2010 aggregate policy, it said.

If the floods are classed as separate events, then some losses likely will fall on IAG’s 2011 program, details of which have not been made public. In 2010, Fitch noted, IAG’s main catastrophe reinsurance program provided $4.1 billion Australian ($4.09 billion) of coverage in excess of $200 million Australian.

Fitch said it believed IAG likely would have sought to purchase similar coverage for 2011 although additional coverage below the $200 million Australian layer might have been difficult to renew after losses from the September earthquake in New Zealand, it said.

Sydney-based QBE Insurance Group Ltd., the largest insurer in Australia, has not yet disclosed loss estimates from the Queensland floods. The company manages its exposures through geographic and product diversification as well as reinsurance purchasing, Fitch said.

In addition to its Australian operations, QBE may have exposure to flood losses through its Lloyd’s of London operations, Fitch said, though any losses likely will not be material for the group, it added.