If you don't want to test your nerves, it is best you avoid driving in New Delhi. The wider avenues in Central Delhi and the diplomatic area may be fine to drive around but for the rest of Delhi, the unregulated traffic and reckless drivers can lend a sense of panic to the most experienced drivers. In addition, the roads are not only cluttered with vehicles of sorts but also with stray dogs and in extreme cases, wandering cows! Finding parking space is an additional hassle that is best avoided by not driving yourself around.
Please note that heavy fines are imposed for not using a seat belt, talking on the mobile while driving, and other offences. An International Driving Permit is essential for driving in India and in most cases the driver must be 25 years or over. Third party insurance is required by law.