Article

IDV
September 14 , 2012

All vehicles are insured at a fixed value known as Insured Declared Value (IDV). This is determined on the basis of the seller's listed value for the brand and model less a fixed depreciation for every year calculated as per the schedule of Indian Motor Tariff. The value of accessories in the car but not included in the manufacturer's listed selling price of the vehicle is calculated separately.

Below is the table for calculating age wise depreciation applicable when total loss claims are applicable.

Age of Vehicle

% of Depreciation

Not exceeding 6 months

5%

Exceeding 6 months but not exceeding 1 year

15%

Exceeding 1 year but not exceeding 2 years

20%

Exceeding 2 years but not exceeding 3 years

30%

Exceeding 3 years but not exceeding 4 years

40%

Exceeding 4 years but not exceeding 5 years

50%

IDV of vehicles 5 years or older and models which are no longer being manufactured is determined on the basis of understanding between the insurance company and the insured.

Rates of depreciation differ for various parts in case of partial loss claims.

 

Type of part

 

% of Depreciation

Rubber nylon/ plastic parts, tyres and tubes,batteries and air bags

50%

Fibre glass components

30%

Glass components

Nil

Depreciation for all other parts including wooden parts is to be as per the following schedule for partial loss claims

Age of Vehicle

% of Depreciation

Not exceeding 6 months

Nil

Exceeding 6 months but not exceeding 1 year

5%

Exceeding 1 year but not exceeding 2 years

10%

Exceeding 2 years but not exceeding 3 years

15%

Exceeding 3 years but not exceeding 4 years

25%

Exceeding 4 years but not exceeding 5 years

35%

Exceeding 5 years but not exceeding 10 years

40%

Exceeding 10 years

50%

Fintotal Knowledge the best place to learn more on personal finance.

The language is simplified and written specially for non finance background individuals.


Explore more in a easy manner.

Table of Contents

Table of Contents

  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed
  • No Article Listed

Get the all financial products under one roof only at

you will NEVER GO WRONG with us!

Unbiased . Best Deals . Appropriate Products . No Mis-selling