Car Insurance IDV Calculator
Car Insurance IDV Calculator
The Insured Declared Value (IDV) of a car in India — the most a comprehensive policy pays if the car is stolen or written off — from the listed price, accessories and the car’s age.
IDV
A car now listed at $8,00,000 ex-showroom, $20,000 of accessories, 2 to 3 years old
IDV
- P
- the manufacturer’s listed selling price of the same make, model and variant at the start of the policy
- A
- the listed price of fitted accessories not included in P
- d
- depreciation by age: up to 6 months 5%; to 1 year 15%; to 2 years 20%; to 3 years 30%; to 4 years 40%; to 5 years 50%; older by agreement
Worked example
A car now listed at $8,00,000 ex-showroom, $20,000 of accessories, 2 to 3 years old
Price plus accessories = 8,00,000 + 20,000 = $8,20,000
Depreciation for over 2 and up to 3 years = 30%
IDV = 8,20,000 × 0.70 = $5,74,000 (car 5,60,000, accessories 14,000)
Repairs costing more than 75% of that, $4,30,500, would make it a constructive total loss under the tariff wording
IDV by age: listed price 8,00,000 plus 20,000 of accessories
| Age of the car | Depreciation | IDV |
|---|---|---|
| Up to 6 months | 5% | $7,79,000 |
| Over 6 months, up to 1 year | 15% | $6,97,000 |
| Over 1 year, up to 2 | 20% | $6,56,000 |
| Over 2 years, up to 3 | 30% | $5,74,000 |
| Over 3 years, up to 4 | 40% | $4,92,000 |
| Over 4 years, up to 5 | 50% | $4,10,000 |
What IDV means when you claim
The Insured Declared Value is the sum insured on the own-damage part of a car policy. It matters most in the claim you hope never to make. If the car is stolen and not recovered, or damaged so badly that it is a total loss, the insurer pays the IDV — less any deductible your policy sets and, for a wreck, usually with the salvage going to the insurer — not the price of a new car. Under the tariff wording most policies still follow, the car is a constructive total loss when the cost of retrieving and repairing it would be more than 75% of the IDV. For ordinary repairs the IDV does not set the payout; the bill does, less the depreciation on parts and the deductible, unless you have a zero-depreciation add-on.
Where the schedule comes from. The age-wise percentages are from General Regulation 8 of the India Motor Tariff, the rulebook from the years when motor premiums were set by tariff. The IDV starts from the manufacturer’s listed price of the same model at the start of the policy — so it can rise if the model’s price has gone up — and excludes registration and insurance. Since the IRDAI’s master circular of 11 June 2024, each insurer’s product committee approves its own IDV criteria and depreciation scale, publishes it, and must show the basis in the customer information sheet. Most still use the tariff schedule, as the General Insurance Council’s public IDV calculator does, but check your insurer’s.
Choosing an IDV. Insurers let you move the IDV a little either side of the calculated figure. A lower IDV lowers the premium but also the most you can recover in a theft or total loss; a higher one costs more to insure. This page does not quote premiums, which vary by insurer, city, engine size, no-claim bonus and add-ons. For the car’s loan see the car loan EMI calculator; for depreciation as accountants measure it, the depreciation calculator; for other cover, the health insurance calculator. This is arithmetic on the figures you enter, not financial advice.
Frequently asked questions
How is IDV calculated for a car?
The current listed ex-showroom price of the same model plus declared accessories, less depreciation for the car’s age. A car listed at $8,00,000 with $20,000 of accessories, 2 to 3 years old, has an IDV of $5,74,000.
What depreciation is used for IDV?
The India Motor Tariff schedule: 5% up to 6 months, 15% up to 1 year, 20% up to 2, 30% up to 3, 40% up to 4 and 50% up to 5 years. Since June 2024 each insurer publishes its own scale, and many use this one.
What happens to IDV in a total-loss claim?
It is the most the insurer pays when the car is stolen or written off, subject to the deductible and the policy terms. Under the tariff wording, repairs costing more than 75% of the IDV make it a constructive total loss.
How is IDV set for a car older than 5 years?
By agreement between you and the insurer, usually on the car’s market value; there is no fixed percentage.
Related calculators
References
- India Motor Tariff, 2002 (Tariff Advisory Committee; effective 1 July 2002), General Regulation 8 — Insured’s Declared Value: IDV deemed the sum insured, fixed on the manufacturer’s listed selling price at the commencement of insurance or renewal less the age-wise depreciation; vehicles beyond 5 years by agreement; constructive total loss where retrieval and repair exceed 75% of the IDV.
- Insurance Regulatory and Development Authority of India. Master Circular on IRDAI (Insurance Products) Regulations, 2024 — General Insurance, IRDAI/NL/MSTCIR/MISC/90/06/2024, 11 June 2024: the criteria for IDV and any scale of depreciation are approved by the insurer’s Product Management Committee and published on its website; the basis of IDV forms part of the customer information sheet.
- General Insurance Council. IDV Calculator. https://idv.gicouncil.in/ — age-wise depreciation 5% to 50% up to 5 years; older vehicles by understanding between insurer and insured.