Onsurity, a Bengaluru-based insurtech startup, has completed a $45 million Series B funding round. The round was led by private equity firm Creaegis, with participation from existing investors International Finance Corporation, Quona Capital, and Nexus Venture Partners. The company plans to use the fresh capital to launch new digital products and services aimed at enhancing the financial solutions available to Indian small and medium enterprises (SMEs).
Onsurity also intends to improve its tech capabilities, enhance the claims experience, and develop fully digital greenfield products as part of its commitment to being a 100% paperless insurtech. Kulin Shah, Co-founder and COO of Onsurity, said, “The new funding will significantly enhance our ability to elevate customer experience and strengthen our partnerships within the BFSI ecosystem, ensuring our offerings reach a broader SME audience.” He added that Onsurity Plus, the company’s suite of business risk insurance solutions, will benefit from this boost, enabling the launch of more innovative products soon. Since its founding in February 2020 by Shah and Yogesh Agarwal, Onsurity has onboarded over 8,000 companies, impacting over 1.5 million lives across 26 states and three union territories.
With this new capital, the startup aims to partner with 50,000 companies and extend coverage to five million lives by 2026. Prakash Parthasarathy, Managing Partner and CIO of Creaegis, said, “Onsurity has made significant progress in addressing the gap in healthcare and insurance solutions for Indian SMEs through its unique value proposition of digitally enabled services. The scale they’ve achieved in just over four years is truly remarkable, and we are thrilled to join Onsurity on this journey.”
Onsurity offers subscription-based healthcare benefits and a range of business products like cyber insurance, D&O liability insurance, and property insurance tailored for SMEs.
Onsurity’s plans for Series B funds
It recently launched CyberSure, a personal cyber insurance product aimed at protecting individuals from cyber threats. In a prior Series B round, the company raised INR 219 crore ($26.4 million) with Creaegis as the lead investor.
This investment saw Onsurity issuing 10 equity shares and 6,302 Series B1 Compulsorily Convertible Preference Shares (CCPS) at a price of INR 3,48,089 each. Creaegis contributed INR 176.4 crore, while Nexus Venture Partners and Quona Capital invested INR 31.4 crore and INR 11.9 crore, respectively. Post-investment, Creaegis holds a 17.10 percent stake in Onsurity, while Nexus and Quona Capital own 28.22 percent and 12.82 percent, respectively.
The company’s valuation has now reached approximately INR 1,032 crore ($124 million), according to data from TheKredible. To date, Onsurity has raised over $66 million in funding, including $24 million in its initial Series B round in October 2023 and $16 million in its Series A round in August 2021. The completion of this funding round underscores Onsurity’s commitment to driving innovation in the insurtech sector and supporting the evolving needs of Indian SMEs.
With the fresh funds, Onsurity is well-positioned to expand its reach, enhance its offerings, and continue its mission of providing accessible and affordable healthcare and insurance solutions to businesses across India.
Author
