Chaucer, the global specialty re/insurance group, and Ceto AI, a technology company specializing in predictive analytics for the maritime industry, have launched a new Maritime Managing General Agency (MGA) to operate as a Lloyd’s underwriter.
Under the agreement, Ceto is authorized to bind the ship’s hull on behalf of Chaucer’s Lloyd’s consortium, with additional capabilities provided by Tokio Marine Kiln (TMK).
The companies highlighted that the launch marks an important step for Lloyd’s Marine Markets to integrate real-time operational data into the underwriting process.
“While ships generate vast amounts of operational data on a daily basis, marine insurance has historically relied on static information and historical loss data,” said Tony Hildrew, CEO and founder of Ceto. “Partnering with Chaucer and Tokio Marine Kiln allows us to apply this capability within a regulated, established market framework.”
Ceto uses high-frequency vessel machinery and performance data to inform its underwriting decisions, introducing data-led modeling, an approach designed to improve risk selection and more accurately reflect the condition and performance of insured vessels.
Experts say that relying solely on uniform parameters such as ship age to measure risk is becoming increasingly inaccurate, given that the average age of the global fleet is now more than 22 years old.
Ceto’s underwriting approach represents differentiated, forward-looking risk assessment. MGA supports more precise risk assessment by more closely aligning insurance capabilities with proven performance and maintenance standards.
MGA is based on Ceto’s Watchkeeper platform, which provides continuous machinery monitoring and predictive performance insights.
By combining underwriting with real-time operational data, the model goes beyond periodic surveys and point-in-time assessments to enable a more dynamic assessment of vessel condition and risk. It will focus on ships capable of generating onboard machinery sensor data to support this.
James Irvine, head of Chaucer Global Hull, commented: “The hull market is operating in an increasingly complex environment. This is due to an aging fleet, rising maintenance costs, geopolitical disruption and regulatory pressures.
“Access to high-quality, real-time operational data represents a meaningful development for the underwriting discipline. Ceto’s approach provides a better understanding of how a vessel is actually operating, enabling underwriters to assess risk based on real-time conditions rather than solely on historical proxies.”
“This new MGA’s data-led approach complements our focus on innovation and technical excellence,” added Rob Jarvis, TMK’s head of innovation and portfolio solutions. “We are pleased to support an initiative that brings greater transparency and forward-looking insight into ocean risks.”
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