The Insured Declared Value of a car or IDV is the maximum sum assured offered by the insurer in the event that a car gets completely damaged or wrecked. In other words, IDV is the current value of the vehicle, with depreciation taken into consideration. If the vehicle gets entirely damaged and cannot be used anymore, the insurer will offer an amount equal to the IDV of the vehicle.
Insured Declared Value calculator is a free online tool that helps the user identify the Insured Declared Value of their vehicle. The IDV calculator uses several variables like the price of the car, the model/brand of the car as well as the year of purchase to calculate the IDV of the vehicle. An IDV calculator will also give you an idea of the amount you need to pay as premiums for your motor insurance plan.
IDV is calculated on the manufacturer’s selling price, also known as the ex-showroom price. The IDV calculator deducts the depreciation from the manufacturer’s listed selling price to determine the accurate IDV. The registration and insurance costs are not included while calculating the IDV. If the vehicle has parts that are not factory-fitted, the IDV of those parts will be calculated separately if insurance cover is required for them.
The Finserv MARKETS IDV calculator available online that you can find on top of this page, is extremely user-friendly. Just follow the simple steps given below to know how to calculate IDV of car.
Step 1: Using the slider on the IDV calculator, enter the correct ‘Ex-Showroom Price’ of your car.
Step 2: Using the slider on the IDV calculator, enter the correct ‘Vehicle Registration Year’.
Step 3: Enter the model and make of your car using the drop-down menu provided on the IDV Calculator.
Step 4: Once you have entered all the above details accurately, the IDV of your car will show up on the calculator.
In the table below, you can find the IDV and insurance information of the some of the most popular car models in India:
Car Models |
Variant Name |
Indicative IDV* |
Insurance Premiums |
Hyundai Grand i10 Nios |
MAGNA 1.2 KAPPA VTVT |
₹487120 |
|
Maruti Suzuki Baleno |
ALPHA 1.2 |
₹736800 |
|
Hyundai Creta |
E 1.5 PETROL |
₹835200 |
|
Maruti Vitara Brezza |
LXI |
₹627200 |
|
Maruti Suzuki Swift |
LXI |
₹473520 |
|
Tata Tiago |
REVOTRON XE |
₹430320 |
|
Mahindra XUV 700 |
AX3 |
₹1222024 |
|
Tata Nexon |
XMA PETROL |
₹819920 |
|
Kia Seltos |
GTX 1.4 |
₹1252000 |
|
Maruti Wagon R |
LXI 1.4 |
₹438000 |
*Indicative IDV calculated through the IDV calculator by General Insurance Council, IRDAI.
The IDV is calculated for vehicles with ex-showroom as per Maharashtra, for a manufacturing year of 2021.
Insured’s Declared Value (IDV) as per India Motor Tariff 2002; GR- 8.
You can use the below-given table for reference to calculate the depreciation on your car depending on how old it is:
Age of Car |
Rate of Depreciation |
0-6 months |
5% |
6 months - 1 year |
15% |
1-2 years |
20% |
2-3 years |
30% |
3-4 years |
40% |
4-5 years |
50% |
There are several factors that impact the IDV. Read on to get a brief idea of them.
The age of the car is one of the most important factors for IDV calculation. The depreciation increases with age and hence, the IDV decreases.
The selling price of every vehicle is different and it depends on the make and model of the vehicle. The IDV is indirectly influenced by the make and model of the vehicle.
The city of registration influences the IDV as a vehicle being used in a large city is prone to more risks than a vehicle running in a small town.
The IDV is calculated based on the depreciation of the vehicle. A limited depreciation is allowed depending on the age of the vehicle.
The IDV of your car directly impacts the insurance premiums for your car insurance as the IDV determines the insurance claim payout.
If your vehicle has a high IDV, you will also have to pay a higher premium.
On the other hand, if you want to shell out a smaller amount for the insurance of your vehicle, the IDV will be lower.
If you voluntarily choose to go for a lower IDV than the actual value of your car, then you may end up with a loss when you need to claim insurance for damage or theft.
In case you are looking to buy a car insurance policy, you can check out the car insurance plans at Finserv MARKETS in the table below, along with their important features:
|
Bajaj Allianz General Insurance Co. |
Acko General Insurance Ltd. |
HDFC Ergo General Ltd. |
Third-party cover |
✔ |
✔ |
✔ |
Comprehensive Car Insurance |
✔ |
✔ |
✔ |
Third-party Premium (Effective 1st June 2022) |
Starting from ₹2,094 |
Starting from ₹2,094 |
Starting from ₹2,094 |
No of Network Garages |
4,000+ |
100% cashless garages |
7,600+ |
Claim Settlement Ratio |
98% |
98% |
- |
Additional Covers |
✔ |
✔ |
✔ |
The IDV is the manufacturer’s price minus the depreciation. Ideally, there should be no depreciation in the value of a new car, but once the car is sold, an amount is deducted as depreciation. If the car is less than 6 months old, 5% is deducted as depreciation.
As soon as the car leaves the showroom, depreciation comes into the picture. IDV of a vehicle just outside the showroom will be the company’s selling price minus 5% depreciation.
The closer the IDV is to the company’s selling price, the better it is for the policyholder.
As the market value reduces every year due to the depreciation in the value with the car’s age and usage, the IDV of the car reduces each year.
This happens because insurers usually reduce the IDV to attract customers by offering lower premiums. Lower IDV means lower liability and lower claim settlement amount.
You can find the IDV of your car by using the IDV calculator given at the top of this page. Simply enter the price, year of registration and model of your car, and the correct IDV will be shown on the IDV value calculator.
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