Onsurity’s Remarkable Journey: Revolutionizing Employee Healthcare and Wellness for Businesses of All Sizes

CXOToday has engaged in an exclusive interview with Yogesh Agarwal, Founder and CEO, Onsurity

Q1. Tell us about Onsurity’s journey so far and the milestones that the company has reached in the last three years?

We are an employee healthcare benefits platform focused on making healthcare accessible and sustainable for companies of all sizes including SMEs, MSMEs, startups, and enterprises. Since our inception in February 2020, which was the same time when Covid-19 hit India, we’ve touched a million lives across 5,000+ companies and have a footprint across 26 Indian states and 3 union territories. We are the fastest new-age insurtech to unlock this milestone.

Our monthly subscription-led model has enabled companies with as few as 3 employees to offer comprehensive healthcare and wellness benefits. Monthly subscriptions have ensured that offering healthcare benefits does not strain the cashflows of businesses, thereby allowing them to comfortably focus on growth as well as employee well-being. In fact, through our monthly subscription model, SME businesses have saved INR 23.72 crore on the cost of working capital.

As a young startup, our journey has been both rewarding and challenging. Like many other startups, we’ve had to navigate through the evolving economic landscape and ensure that we are frugal in our business operations. That being said, the awareness brought about by the pandemic has played a pivotal role in helping businesses recognise the importance of providing healthcare benefits to their employees. This realisation has, in turn, rendered our offering particularly attractive.

More than 80% businesses that have partnered with us to offer healthcare memberships to their employees are new to healthcare. This speaks of the impact we’ve been able to create, especially across SME businesses.

Q2. Blue collared workers are known to be the engines of the economy, how is Onsurity making an impact in terms of employee wellness and benefits for blue collared workers?

Blue-collar workers truly serve as the engines of our economy, yet their health and wellness are frequently overlooked. The pandemic’s impact on them was more severe than on other groups, making them highly prone to the increasing healthcare costs. We knew this needed to be fixed. However, for companies to offer healthcare benefits to their contractual or freelance staff, there needed to be a plan that’s not just affordable but also flexible given that this group experiences high employee attrition which means annual premiums wouldn’t make sense. Through our affordable plans starting at a monthly subscription of just ₹145, businesses can offer healthcare plans to their contractual and blue-collared workers. From food delivery partners and truck drivers to teachers employed with ed-tech firms, over 50% of our member base consists of blue-collared workers.

Q3. Onsurity is democratising health insurance for SMEs, start-ups, and enterprises, please elaborate.

For MSMEs with turnovers ranging from Rs 2-3 crore, the prevailing challenge has been the limited availability of insurance and employee benefits, primarily due to the hesitance of insurers to underwrite policies for smaller entities. Typically, smaller companies struggle due to lack of coverage options and the burden of annual upfront payments.

Our approach empowers businesses with monthly payment flexibility, alleviating the financial strain. We’re committed to holistic employee well-being, evident in our comprehensive package encompassing health and wellness solutions like teleconsultations, health check-ups, gym memberships, alongside health, life, and accidental insurance.

Unlike our market alternatives, we offer healthcare membership to SMEs with as few as 3 employees and also cover businesses with over 1000 employees, bridging a critical gap in the market. Our vision is simple: Every business, regardless of its size, should easily prioritise their employees’ health and our solution is aligned with this ethos. With Onsurity, comprehensive and accessible benefits drive business growth sustainably, in turn democratising access to healthcare.

Q4. How many members are onboarded on the platform, and how are the customers segmented.

We have onboarded over a million members on our platform across 5,000+ companies. Women make for about 30% of our total members and nearly 52% of our base comprises of blue-collared workers. About 40% of our member base belongs to tier II and tier III cities.

Q5. What is the unique selling proposition of your company, how is it different from other players in this space?

Our unique selling proposition lies in our pioneering approach to healthcare subscription services, with a dedicated focus on SMEs. In the healthcare coverage landscape, we stand out because:

No direct competition for SMEs: We are the first to offer healthcare on a subscription basis tailored specifically for SMEs. Unlike other peers in the market, we’ve identified and addressed the unique needs of smaller businesses.

Accessibility for SMEs: SMEs typically find themselves turning to market alternatives or insurance intermediaries that primarily cater to large enterprises. We have flipped the script by ensuring that SMEs have a dedicated platform designed to meet their healthcare needs.

Greenfield opportunity: In the realm of SMEs, we are essentially operating in a Greenfield space. By providing much-needed healthcare solutions for this segment, we’re breaking new ground and establishing ourselves as the go-to provider.

Our distinctive edge lies in our unwavering commitment to SMEs, offering them accessible, comprehensive, and tailored healthcare plans that was previously unavailable in the market. We are not just filling a gap; we are reshaping the landscape to ensure that healthcare benefits are inclusive and beneficial for businesses of all sizes.

Q6. What role has technology played in your business model and pricing strategy?

Technology plays a pivotal role in our business model and pricing strategy by enabling us to gather essential data points efficiently and accurately. We utilise technology to access company data, including GSTIN or PAN number, which helps us identify the GST profile, retrieve turnover, and determine the business’s location. This information is crucial for assessing the financial health of the organisation, tailoring our products, and pricing them effectively.

Technology assists us in understanding the nature of each business we serve. This knowledge is vital for customising our products to meet specific industry needs and risks. Our tech-led approach also enables us to manage employee profiles efficiently, including their names, mobile numbers, and employer information. This data helps us track previous claims and handle any backdated addition requests swiftly.

Further, we employ technology to validate the KYC status through the Ministry of Corporate Affairs. This validation ensures that we have accurate information about the organisations we serve. Our investment in certain tech-driven tools allow us to track any litigations associated with an organisation. This information is crucial for pricing products such as Directors and Officers (D&O) liability insurance accurately.

Tech plays an integral role in our business model and pricing strategy by providing us with real-time, accurate data and insights into the businesses we serve. This helps us optimise pricing to best meet the needs of our clients, whether they are SMEs, startups, or established enterprises.

Q7.  Throw some light on your partnerships with insurance companies, and providers that you work with?

Given that we offer a range of insurance products, we’ve partnered with some of the leading insurance companies in India including ICICI Lombard General Insurance, Kotak General Insurance, TATA AIA Life Insurance, Care Health Insurance, among others. For wellness in particular, we have partnerships with some of the leading brands in their respective areas such as Cult Fitness, Clove Dental, Tata 1Mg, Sarva Yoga etc. Through these partnerships, we ensure that our members get a comprehensive healthcare plan that helps them prioritise their overall well-being.