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Can I change the IDV value?
“It can vary as the insurer lets you change it by plus or minus 15 per cent. So if the default IDV being offered is Rs 3 lakh, you can choose an IDV between Rs 2.55 lakh and Rs 3.45 lakh.” says Gupta.
Can I set my own IDV?
At the time of policy purchase and each renewal, the premium is calculated based on the depreciated value of the vehicle. However, as a holder of the car insurance policy, one has the liberty to fix the IDV. “The car owner can alter the IDV while renewing car insurance.
Is IDV value important in bike insurance?
Your IDV is one of the most important part of your bike insurance. This is because it not only determines the real value of your bike but also determines the amount you will pay as your bike insurance premium.
Should you increase IDV?
At best, IDV is the maximum sum insured amount that the insurance company pledges to compensate for your loss. Getting an IDV that is close to the market value of your car is always the best bet. Decreasing the IDV value will result in lower premium but it also provides you with a lower coverage than is required.
How much IDV decrease every year?
Depreciation Schedule to fix IDV of a Car
| Age of Vehicle | \% Depreciation for adjusting IDV |
|---|---|
| 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\% |
How do I select IDV value?
IDV is calculated as manufacturer’s listed selling price minus depreciation. The registration and insurance cost are excluded from IDV. The IDV of the accessories which are not factory fitted, are calculated separately at extra cost if insurance is required for them.