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Revisions in catastrophe models most likely won’t offset the lack of demand in the reinsurance market, Moody’s Investor Service said today.

In a brief outlook, Moody’s said reinsurance demand remains stifled because primary insurers have tighter reinsurance budgets and lower volumes due to reduced economic activity. This is not expected to change due to the model revisions, “despite the expectation of increased modeled losses in certain peril zones,” Moody’s said.

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