Local insurer Richmond National closes on $55M capital raise

The new Richmond National Group offices at 11013 W. Broad St. (Courtesy James Flajser)

A Henrico-based insurance company has gathered another big batch of investor capital to fuel its growth.

Richmond National Group, the holding company for Richmond National Insurance Co., announced last week its closure of a $55 million capital raise. 

The firm, which underwrites specialized property, professional liability and casualty products for small- and mid-sized companies, is headquartered at 11013 W. Broad St. and has raised more than $210 million from investors since its formation in 2021. 

The latest raise was funded by existing investors, including HF Capital, Bonhill Capital, WT Holdings and employees. It’s the fourth time Richmond National has looked to that group for fresh capital, CEO Joe Kavanagh said.

Joe Kavanagh

“This is really to allow us to continue to grow the business organically,” Kavanagh said of the capital raise. “We expect to continue to grow this year, and in order to do that, as an insurance company, we need to have the capital and the business to allow us to be able to issue more policies to potential customers.” 

James Flajser, chief strategy officer and chief risk officer, added: “As a financial institution, as we continue to grow, our balance sheet has to grow with that.”

Richmond National last announced a similar $55 million capital raise in May 2024, having tapped the same set of investors then as well as in 2025 that supported the firm’s 2021 launch. 

Richmond National has grown in the past year from about 100 employees to about 160, Kavanagh said. That’s up from around 75 employees this time two years ago. 

The company moved into its current office in the former SunTrust Business Center campus in December of last year, Kavanagh said. Among its neighbors there is fellow insurance firm Genworth Financial. Richmond National was previously headquartered at 3951 Westerre Parkway, in a portion of the Westerre I building. 

As its lease expired in the Westerre Parkway location, Richmond National’s growing headcount led to its move. 

James Flajser

“We basically doubled the size of our square footage to allow us to continue to add people into the company,” Kavanagh said. 

Both Kavanagh and Flajser said Richmond National plans to continue growing its ranks. Richmond National did not comment on how many employees it looks to hire in the next year. 

“I think the capital support really is driven by our employees, so continuing to find and attract great employees was a real focus of last year,” Flajser said. “We see that continuing going forward as well.”