To find the insured declared value (IDV) of your vehicle, use the following formula:
IDV = Ex-showroom price of a bike – Depreciation value) + (Accessory expenses - Depreciation on these accessories)
A brand-new vehicle with after-purchase additions can be calculated using this formula. The IDV computation is as follows if there are no additional accessories:
IDV = Ex-showroom price of the bike - Depreciation value of the bike
Sr.No.
| Name of the Product
| BAP UIN
|
1
| Private Car Package Policy
| IRDAN113RP0025V01200102
|
2
| Private Car Policy - Bundled
| IRDAN113RP0007V01201819
|
3
| Standalone Own Damage Cover for Private Car
| IRDAN113RP0001V01201920
|
4
| Private Car Package Policy – 3 Years
| IRDAN113RPMT0001V01202425
|
5
| Two Wheeler Package Policy
| IRDAN113RP0026V01200102
|
6
| Long Term Two Wheeler Package Policy
| IRDAN113RP0008V01201617
|
7
| Two Wheeler Policy – Bundled
| IRDAN113RP0008V01201819
|
8
| Standalone Own Damage Cover for Two Wheeler
| IRDAN113RP0002V01201920
|
9
| Two Wheeler Package Policy – 5 Years
| IRDAN113RPMT0018V01202425
|
10
| Commercial Vehicle Package Policy
| IRDAN113RP0027V01200102
|
11
| Motor Trade Internal Risk
| IRDAN113RP0039V01200102
|
12
| Motor Trade Package Policy
| IRDAN113RP0038V01200102
|
List of products specified in the list above are governed by the Indian Motor Tariff.
The Insured’s Declared Value (IDV) of the vehicle will be deemed to be the ‘Sum Insured’ and it will be fixed at the commencement of each policy period for each insured vehicle.
The IDV of the vehicle (and accessories if any fitted to the vehicle) is to be fixed on the basis of the manufacturer’s listed selling price of the brand and model of the insured vehicle at the commencement of the Policy. The IDV shall change according to the depreciation grid below for each block of one year within the policy period.
How Total Loss (TL) and CTL are Determined
Total Loss (TL) and Constructive Total Loss (CTL) for electric vehicles (EVs) are calculated by comparing the estimated cost of repairs to the vehicle's Insured Declared Value (IDV). Since EV battery packs are expensive, insurance often declares them totalled if repairs exceed 75% of the IDV.
If the total cost of recovering and/or fixing a vehicle exceeds 75% of the IDV, it is classified as a CTL. Over time, the IDV, which is the maximum amount insured, decreases.
When a bike is completely submerged in a flood, stolen and never recovered, or permanently damaged, it is typically reported as a total loss. If the repair costs exceed 100% of the IDV or the current market value in some situations, it is considered a total loss.
AGE OF VEHICLE
| % OF DEPRECIATION FOR FIXING IDV
|
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% |
The IDV arrived as per the above method may be further adjusted basis various factors such as location, make and model etc, with agreement of the Insured and as captured in the Policy Schedule.
The age-wise depreciation schedule shown above is applicable only for Total Loss/Constructive Total Loss (TL/CTL)/Cash Loss claims.
IDV of vehicles beyond 5 years of age and for obsolete models (i.e. models that manufacturers have discontinued) is to be determined on the basis of mutual agreement between the Insurer and the Insured.
IDV shall be treated as the Market Value throughout the Policy Period without any further depreciation for the purpose of Total Loss (TL)/Constructive Total Loss (CTL)/Cash loss claims.
