BackgroundThe difficulty in identifying SARS‐CoV‐2 infections has not only been the major obstacle to control the COVID‐19 pandemic but also to quantify changes in the proportion of infections resulting in hospitalization, intensive care unit (ICU) admission, or death.MethodsWe developed a model of SARS‐CoV‐2 transmission and vaccination informed by official estimates of the time‐varying reproduction number to estimate infections that occurred in Italy between February 2020 and 2022. Model outcomes were compared with the Italian National surveillance data to estimate changes in the SARS‐CoV‐2 infection ascertainment ratio (IAR), infection hospitalization ratio (IHR), infection ICU ratio (IIR), and infection fatality ratio (IFR) in five different sub‐periods associated with the dominance of the ancestral lineages and Alpha, Delta, and Omicron BA.1 variants.ResultsWe estimate that, over the first 2 years of pandemic, the IAR ranged between 15% and 40% (range of 95%CI: 11%–61%), with a peak value in the second half of 2020. The IHR, IIR, and IFR consistently decreased throughout the pandemic with 22–44‐fold reductions between the initial phase and the Omicron period. At the end of the study period, we estimate an IHR of 0.24% (95%CI: 0.17–0.36), IIR of 0.015% (95%CI: 0.011–0.023), and IFR of 0.05% (95%CI: 0.04–0.08).ConclusionsSince 2021, changes in the dominant SARS‐CoV‐2 variant, vaccination rollout, and the shift of infection to younger ages have reduced SARS‐CoV‐2 infection ascertainment. The same factors, combined with the improvement of patient management and care, contributed to a massive reduction in the severity and fatality of COVID‐19.