Zopper, Backed by Elevation Capital, Let Go 100 Employees

Since the beginning of 2025, the insurance-focused SaaS business Zopper has let go of about 100 workers; the most recent wave of layoffs occurred earlier this week. According to media sources, the startup's management said earlier this week that over fifty members of the product and engineering teams had been let go. According to a media outlet, the company simply stated that it is attempting to reduce expenses. The startup laid off about 20 members of the engineering and product teams earlier this year, making this the second round of layoffs from these teams. According to the sources, it also fired its whole 40-person insurance staff early this year. A month's salary is being offered by the startup as a severance package.

Zopper Recently Raised $25Mn

Nearly five months have passed since Zopper received $25 million in its Series D round. This funding round was co-led by Elevation Capital and Dharana Capital and included Blume Ventures, an existing investor. Zopper stated during its most recent fundraising campaign that it was developing a cutting-edge policy administration system (PAS). The PAS would make use of sophisticated algorithms, a current tech stack, and data handling and security measures to provide flawless client support. Zopper, which was founded in 2011 by Surjendu Kuila and Mayank Gupta, offers APIs for insurance distribution to insurance firms and other ecosystem participants. Through its unique embedded insurance API suite, it assists insurance businesses in connecting with partners such as e-commerce marketplaces.

Financial Outlook of Zopper

To date, Zopper has raised $121 million from investors such as ICICI Venture, Elevation Capital, Creagis, and Bessemer Venture Partners. From INR 162.4 Cr in FY23 to INR 438.7 Cr in FY24, its operating revenue increased by 170%. But its net loss also increased from INR 47.2 Cr in FY23 to INR 115.2 Cr, a 144% increase.

Layoff has Become a Common Scenario in 2025

With big companies like Google, Microsoft, and others continuing to reduce their workforces, layoffs in the tech sector are not expected to halt in 2025. Companies are still cutting employees in an effort to simplify operations, save money, and emphasise automation and artificial intelligence, even though these figures are much lower than the major layoffs that occurred between 2022 and 2023. Layoffs.fyi, a website that tracks layoffs in the industry, reports that 93 organisations have laid off nearly 23,500 tech workers so far this year, and the number is still growing. Google and Microsoft are apparently contemplating a new round of layoffs, according to the most recent job reduction reports. According to reports, AI-led restructuring and performance-based terminations are part of the corporations' goals to increase the effectiveness of their personnel.