IDV in Bike Insurance

It’s important to choose the correct IDV as this will also determine the maximum amount you will receive in case of damage and losses to or by your two-wheeler.

If you incorrectly declare your IDV, you are indirectly stating a lower/higher value of your bike. Therefore, in case of claims- you will receive a lower amount if you’ve stated the wrong, lower IDV which won’t be enough for your bike and if in case you’ve stated a higher amount then the amount you will receive at the time of claims will also be higher. 

You can approximately calculate your IDV by checking the market value of your bike and subtracting its depreciation on the same (based on how old it is). If you aren’t too sure how to go about it, you can also use an IDV bike depreciation calculator online.

At Digit, we allow you to customize your IDV. However, we’d always recommend stating the right amount as this will give you the right premium amount and will also give you just the amount you’ll need during claims. The higher your IDV, the higher will be your premium and maximum claim amount and vice versa.

No, this isn’t a wise thing to do as in case of claims, you’ll end up receiving a lower amount that may not be enough for your respective two-wheeler. Remember, your IDV also reflects the maximum amount your insurer can compensate for in case of damage and losses. So, the lower your IDV and premium, the lower will be your maximum claim amount.

It is recommended to choose a bike’s IDV value that is neither very high nor very low but at par with the two-wheeler's market value. 

You claim IDV when there is a total loss of the two-wheeler. Whereas, in case of repairable damage, your insurer will settle the claim amount based on the extent of damage covered by your purchased policy.

No, IDV is not applicable to third-party policy as its premium rates for two-wheeler insurance is already set by IRDAI based on the cubic capacity of the bike's engine.

Yes, you can change the IDV while renewing the policy as the bike’s value may change over time due to many reasons including depreciation.

Yes, you can change the IDV depending on your insurer’s policies.  

To know how much depreciation on bike per year, checkout the two-wheeler depreciation rate table, as per which the bike depreciation increases to 20% in two years, and further increases upto a maximum of 50% as the vehicle ages.   

IDV in bike insurance for two-wheelers over 1-year-old is 20%, 30%, 40%, and 50% every year.

A low IDV in bike insurance means a lower premium and claim amount if your two-wheeler is stolen or totalled.  

No IDV depends on your vehicle’s age, condition, and other factors, and vehicle's current market value at the time of renewal. Therefore, the IDV automatically decreases every year due to bike depreciation rate.

For two-wheelers older than 5 years, the IDV depends on their condition, model, manufacturer, and spare part availability. So, for vehicles older than 5 years, you can discuss with your insurer or use a bike depreciation calculator to determine the IDV value.