Insurtech Startup Onsurity Secures $24 Million Funding from IFC and Nexus

SA TeamOctober 9, 2023

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Three points you will get to know in this article:

Onsurity will utilize funds for tech-driven claim solutions, expanding clientele, and achieving profitability.
It asserts to have assisted more than one million individuals in 5,000+ firms.
Established in 2020, Onsurity provides employee healthcare benefits.

In a significant stride forward, the insurtech startup Onsurity, with a keen focus on small and medium enterprises (SMEs), has triumphantly raised $24 million in its Series B funding round. The International Finance Corporation (IFC) spearheaded this round, demonstrating a strong endorsement of Onsurity’s mission. Noteworthy participation also came from steadfast backers Nexus Venture Partners and Quona Capital.

Pioneered in 2020 by the dynamic duo of Yogesh Agarwal and Kulin Shah, Onsurity distinguishes itself as a provider of employee healthcare benefits. The startup proudly asserts its impact, having extended its services to a commendable one million plus individuals. Presently, Onsurity stands as a trusted healthcare ally for more than 5,000 companies. Notable names in this roster include Jupiter Money, CleverTap, Porter, Zepto, Sobha Developers, DBS Bank, Pantaloons, and Sattva, among several others.

This achievement underscores Onsurity’s commitment to delivering essential healthcare solutions to businesses of varied scales. The infusion of funds in the Series B round signifies not just financial backing but a vote of confidence in Onsurity’s vision. The startup’s journey so far attests to its growing influence and the positive impact it’s making in the realm of employee healthcare benefits.

The startup is gearing up to utilize the funding to collaboratively craft a cutting-edge tech solution alongside its insurance partners, fostering smooth and transparent transactions. Additionally, Onsurity has set an ambitious target to bring onboard 50,000 companies, aiming to positively impact over 5 million lives by 2026.
Sharing insights on this exciting development, co-founder Agarwal expressed, “With the robust backing from IFC, Nexus Venture Partners, and Quona Capital, we are poised to elevate our commitment in expanding our technology-driven platform. This expansion will empower us to offer insurance coverage to an even broader spectrum of SMEs, establishing a comprehensive safety net for their operations.”

Onsurity is dedicated to revolutionizing the claiming experience for users through the application of cutting-edge artificial intelligence (AI). Our goal is to eradicate the common issues of extended waiting times and uncertainties that often accompany the claims process. In doing so, we are committed to providing all our members with a seamlessly digital, transparent, and highly efficient benefits utilization journey.
Expressing his thoughts on this exciting development, co-founder Shah enthusiastically stated, “The recent injection of funds will propel our mission to enhance our range of products. We are focused on creating one of the most advanced, tech-driven distribution stacks in the industry, ensuring a top-notch experience for our users.”

Shah highlights that the funding infusion provides the startup with the opportunity to venture into uncharted territories and reach out to neglected customer demographics.

The startup’s mission is to simplify the claims process for employees in small-scale businesses and startups. Throughout this journey, it asserts that it has served a diverse array of companies, spanning from compact teams of three to well-established businesses boasting a workforce of over 1,000 employees.

“Onsurity extends its coverage to a diverse range of individuals, spanning from corporate leaders to dedicated employees and freelance workers, along with their loved ones. A significant majority of Onsurity’s membership comprises hardworking blue-collar professionals, with nearly 40% originating from the vibrant landscapes of Tier-II and Tier-III cities. Notably, Onsurity proudly asserts that 80% of businesses adopting healthcare plans from them are stepping into the realm of employee healthcare for the very first time.”

Beyond healthcare, Onsurity extends its protective umbrella with Onsurity Plus, encompassing cyber insurance, commercial general liability insurance, and more. Crafted to deliver thorough coverage, these offerings stand as a robust shield, aiding SMEs in confidently steering through the intricate landscape of contemporary risks and challenges.

SME-focused Insurtech startup Onsurity has raised $24 million in its Series B funding round led by the International Finance Corporation. The company aims to use the funds to co-create a technology solution with its insurance partners to provide seamless and transparent transactions. Onsurity plans to onboard 50,000 companies and serve more than 5 million lives by 2026. The startup offers employee healthcare benefits and additional coverage like cyber insurance and commercial general liability insurance to support SMEs.