Global specialty re/insurance group Chaucer, and Ceto AI, a technology company specialising in predictive analytics for the maritime industry, have launched a new marine managing general agent (MGA), operating as a Lloyd’s coverholder.
Under the agreement, Ceto is authorised to bind marine hull on behalf of Chaucer’s Lloyd’s syndicate, with additional capacity provided by Tokio Marine Kiln (TMK).
The launch marks a significant step for the Lloyd’s marine market, the firms highlight, integrating real-time operational data into the underwriting process.
“Marine insurance has historically relied on static information and historic loss data, despite vessels generating vast amounts of operational data every day,” says Tony Hildrew, CEO and founder of Ceto. “Working alongside Chaucer and Tokio Marine Kiln allows us to apply this capability within a disciplined, established market framework.”
Ceto uses high-frequency vessel machinery and performance data to inform its underwriting decisions, introducing a data-led model, an approach designed to improve risk selection and provide a more accurate reflection of an insured vessel’s condition and performance.
Given that the average age of the global fleet is now over 22 years, relying solely on uniform parameters like vessel age is becoming an increasingly inaccurate measure of risk, according to experts.
Ceto’s underwriting method represents a differentiated, forward-looking risk assessment. By aligning insurance capacity more closely with demonstrated performance and maintenance standards, the MGA supports a more precise evaluation of risk.
The MGA is underpinned by Ceto’s Watchkeeper platform, which provides continuous machinery monitoring and predictive performance insights.
By integrating underwriting with live operational data, the model moves beyond periodic surveys and point-in-time assessments, enabling more dynamic evaluation of vessel condition and risk. It will focus on vessels capable of producing onboard machinery sensor data to support this.
James Irvine, head of global marine hull lines at Chaucer, commented: “The marine hull market is operating in an increasingly complex environment. brought about by ageing fleets, rising repair costs, geopolitical disruption, and regulatory pressure.
“Access to high-quality, real-time operational data represents a meaningful evolution in underwriting discipline. Ceto’s approach provides greater visibility into how vessels are actually performing, allowing underwriters to assess risk based on live condition rather than historic proxies alone.”
“The data-led approach of this new MGA complements our focus on innovation and technical excellence,” added Rob Jarvis, Divisional Head of Innovation and Portfolio Solutions at TMK. “We’re pleased to support an initiative that brings greater transparency and forward-looking insight to marine risk.”
