IDV Calculator
| Vehicle Age | Dep. Rate |
|---|
What This Tool Does
This calculator estimates your vehicle’s Insured Declared Value (IDV) — the sum insured your motor policy is based on for total-loss and theft claims. Select your vehicle type, make, model, and registration details to get an estimate.
You can also use this Body Type Calculator.
How It’s Calculated
IDV = Manufacturer’s Listed Selling Price − Depreciation (based on vehicle age)
India’s Motor Tariff regulation sets a standard age-based depreciation schedule used across the industry for vehicles up to 5 years old:
| Vehicle Age | Depreciation |
|---|---|
| Up to 6 months | 5% |
| 6 months – 1 year | 15% |
| 1 – 2 years | 20% |
| 2 – 3 years | 30% |
| 3 – 4 years | 40% |
| 4 – 5 years | 50% |
Worked example: A vehicle with an ex-showroom price of ₹8,00,000, currently 1.5 years old (falling in the “1–2 years” bracket, 20% depreciation).
- IDV = 8,00,000 × (1 − 0.20) = 8,00,000 × 0.80 = ₹6,40,000
Fitted accessories not included in the original ex-showroom price get their own value added separately, adjusted for depreciation in the same way.
Edge Cases and Special Rules
- Vehicles over 5 years old: The standard depreciation schedule doesn’t apply beyond 5 years, or for discontinued/obsolete models. Instead, the IDV is set by mutual agreement between the insurer and the vehicle owner.
- IDV stays fixed for the policy period: Once set at the start of a policy, IDV doesn’t change even if the vehicle’s actual value shifts during that period.
- Total loss threshold: A vehicle is typically classified as a Constructive Total Loss (CTL) when repair costs exceed 75% of the IDV.
- IDV can vary between insurers: Since there’s no single centralized database of manufacturer selling prices shared across the industry, different insurers can arrive at somewhat different IDV figures for the same vehicle, make, and model.
IDV Across Vehicle Types and Insurers
The depreciation schedule itself applies uniformly across two-wheelers, cars, and commercial vehicles — the percentages don’t change based on vehicle category. What does vary is the underlying ex-showroom price used as the starting point, and how consistently different insurers calculate it. Public sector insurers like United India Insurance and Oriental Insurance, along with private insurers, each maintain their own pricing references, which is why getting quotes from more than one insurer can show a different IDV for the same vehicle.
Who Uses This
- Vehicle owners renewing or purchasing a new motor insurance policy
- Anyone comparing insurance quotes across different insurers for the same vehicle
- People wanting to understand what they’d actually receive in a theft or total-loss claim
- Buyers of two-wheelers, cars, or commercial vehicles checking their coverage basis before purchase
IDV vs. Market Value
These are often assumed to be the same, but they’re calculated differently. IDV is a formula-based figure — ex-showroom price minus a fixed depreciation percentage tied purely to age. Market or resale value reflects real-world factors like the vehicle’s actual condition, mileage, demand, and local resale trends, and can differ meaningfully from IDV, especially for older or well-maintained vehicles. Knowing this difference matters most at claim time, since your insurer’s payout is based on IDV, not what you might expect to get selling the vehicle privately.
FAQ
What is IDV in vehicle insurance?
Insured’s Declared Value — the sum insured amount used for total-loss or theft claim settlements in a motor policy.
How is IDV calculated?
By applying a standard age-based depreciation percentage to the vehicle’s manufacturer listed selling price.
Does a higher IDV mean a higher premium?
Generally yes, since your premium is calculated as a percentage of the IDV for comprehensive coverage.
What happens to IDV for vehicles older than 5 years?
The standard depreciation schedule no longer applies — IDV is instead agreed upon directly between the insurer and the vehicle owner.
Can I negotiate my IDV with the insurer?
Within limits, yes — especially for vehicles beyond 5 years old, where IDV is set by mutual agreement rather than a fixed formula.
Try It Above
Select your vehicle type, make, model, and registration year in the calculator above to get an estimated IDV. Figures are indicative only — always confirm the exact IDV quoted in your policy document before purchase or renewal.