Obviously, this amount doesn't fully offset the losses. Juggling with figures of this magnitude may seem terrifying to the average person, but the amounts allocated certainly don't cover all the losses.
People from the insurance industry are here. An actuary's job is to perform the calculation for a loss in perpetuity. The values involved are in the billions of dollars. The government's move is a step in the right direction. It will offset some of the losses, but the producers will certainly absorb part of the losses.