Onsurity, an Indian startup that offers monthly subscription-based insurance solutions to micro, small and medium enterprises, has raised $24m in a funding round led by the World Bank’s International Finance Corporation (IFC).
With the fresh funds, Onsurity aims to grow its customer base to over 50,000 companies, providing coverage to over 5m lives by 2026.
The Series B round also saw the participation from existing investors Nexus Venture Partners and Quona Capital. With the fresh funding, the three-year-old startup has raised $40m in total.
India has over 63m micro, small and medium enterprises (MSMEs), which hire close to 400m employees and support 675m families.
Onsurity aims to fill the insurance gap with its suite of offerings designed specifically for MSMEs enterprises and emerging businesses. It also integrates healthcare and wellness benefits for enterprises — irrespective of their size — to let their employees access health checkups, fitness membership, doctor consultation and discounted medicines, among other services.
Currently, Onsurity serves over 5,000 enterprise customers, reaching over 1m people across 26 Indian states and three union territories. Its members include business executives, startup employees and gig workers as well as their dependents. As much as 80% of Onsurity’s total portfolio comprises SMEs, with over half its member base composed of blue-collar workers and close to 40% coming from Tier-II and Tier-III cities.
Further, the Bengaluru-based startup, founded in 2020, recently expanded its product line by introducing cyber risk insurance to let businesses protect their online presence with a dedicated coverage against privacy and security breach instances. It also offers other business products including D&O liability insurance and commercial general insurance under Onsurity Plus.
Onsurity works with about five insurance partners and four to five companies in the healthcare and wellness services space. Mr Yogesh Agarwal, founder and CEO of Onsurity, says that his company has partnered with some of the world’s top reinsurers, without disclosing their names.
Onsurity has also started partnering with hospitals directly, with more than 100 hospitals already onboarded, to facilitate claims processing and to boost healthcare integration.
