Car insurance IDV calculator

This car insurance IDV calculator estimates the insured declared value of a vehicle in India using a simple depreciation pattern. It helps you understand how a car's insured value may move from the ex-showroom price to later renewal years.

It is useful when you want a quick benchmark before comparing insurer quotes, own-damage cover choices, or the insured value used in a policy discussion.

This calculator uses the rule you specified for Indian car IDV estimation. It starts from the ex-showroom price, applies a 5 percent reduction in the first year, and then applies a 10 percent reduction each year after that on the previous year's IDV.

That gives you a quick year-by-year estimate instead of manually recalculating depreciation for every renewal year.

For a new car or first year, the calculator uses:

IDV = Ex-showroom price × 95%

From the second year onward, the calculator uses:

Current year IDV = Previous year IDV × 90%

This means the depreciation keeps compounding on the previous year's IDV instead of being recalculated from the original ex-showroom price each time.

Suppose your car's ex-showroom price is Rs 10,00,000.

Year 1 IDV = Rs 9,50,000 after a 5 percent reduction.

Year 2 IDV = Rs 8,55,000 after reducing year 1 IDV by 10 percent.

Year 3 IDV = Rs 7,69,500 after reducing year 2 IDV by another 10 percent.

The schedule in the calculator shows this progression automatically so you can review the value year by year.

The IDV snapshot can help you understand roughly how the insured value of a car may change over time and how much value is being lost each year under this formula.

Use it as a practical benchmark before comparing insurer quotes, add-ons, and final policy wording.

Do not confuse ex-showroom price with on-road price. This calculator uses the ex-showroom price as the base, not registration charges, insurance, or handling fees.

Do not assume the result is always identical to the final insurer IDV. Insurers may apply their own depreciation approach, accessory treatment, and policy-specific rules.

Do not focus only on a lower premium. A lower insured value can also change the protection you are comparing.

Use this calculator when buying a new policy, renewing own-damage cover, comparing different insurers, or estimating how vehicle value may change over the years.

It is also helpful if you want to compare your car loan repayment plan with the way the insured value of the car is reducing over time.

Car ownership costs are not limited to EMI alone. Insurance, depreciation, emergency reserves, and future upgrade planning all matter when deciding how much vehicle cost is comfortable.

That is why it helps to pair IDV planning with a car loan EMI calculator and a goal calculator when you are evaluating the full financial impact of a car purchase.