Vehicle Value Calculators

How a Car's Value Depreciates Over Time

A car's value shrinks by a fixed percentage of whatever it's currently worth each year, not a fixed rupee amount — so the actual rupee loss is largest in the first year and keeps shrinking every year after, even at a constant percentage rate.

How Car Insurance Premium Is Estimated From IDV and No-Claim Bonus

A car insurance premium estimate starts from the vehicle's Insured Declared Value, applies a base rate to get a starting premium, then reduces that with a No-Claim Bonus discount earned for claim-free years before adding any optional cover — so the same vehicle can carry very different premiums depending on its NCB standing alone.

How Vehicle Depreciation Is Calculated (Declining-Balance Method)

Vehicles typically lose value through declining-balance depreciation, where a fixed percentage is deducted from the current value each year rather than from the original purchase price — which is why a vehicle loses more rupees in absolute terms during its early years than in its later years, even at the same percentage rate.

Why a New Car's First-Year Depreciation Can Cost More Than a Year's Worth of Fuel

For a ₹10,00,000 car driven a typical 15,000 km a year, the first year's depreciation loss is 1.8 times the annual fuel bill — but by year five, that same car's depreciation has shrunk below what a year of driving costs in fuel alone.

Why Car Insurance Premiums Drop as a Car Ages

Because a car insurance premium is calculated as a percentage of the vehicle's declared value, and that declared value falls every year through depreciation, the premium itself tends to fall right along with it — even when the base rate and No-Claim Bonus percentage stay exactly the same.