IDV is calculated based on the age of the car and the standard depreciation rates mentioned below.As the car ages, its value starts depreciating.
Car age 6 months & below: 5% depreciation
Car age 6 months to 1 year: 15% depreciation
Car age 1 year to 2 years: 20% depreciation
Car age 2 years to 3 years: 30% depreciation
Car age 3 years to 4 years: 40% depreciation
Car age 4 years to 5 years: 50% depreciation