Large language models (LLMs) are becoming widely deployed as personal AI assistants with access to sensitive user data, making privacy a major challenge for their design and evaluation. Prior work focuses mainly on individual-level risks, overlooking \textbf{interdependent privacy (IDP)}--where one person's data may be revealed by others without their knowledge or consent. We address this gap by introducing \textbf{IDP-Bench}: the first LLM benchmark for IDP scenarios, grounded in the Contextual Integrity (CI) framework. We evaluate eight open-source LLMs on their understanding of IDP scenarios across three levels of IDP reasoning using two LLM judges. Results show strong co-ownership recognition (6/8 models exceed 90%) but persistent weaknesses in identifying CI parameters (information attribute, primary subject) and IDP-specific parameters such as secondary subjects, where 7/8 models score below 74%. Models also struggle to judge sharing appropriateness (5/8 scoring below 77%). While the ability to judge the appropriateness of sharing improves with scale, performance tends to decline in smaller models, and prompt sensitivity remains high on IDP-specific questions--highlighting the need for more targeted study of IDP in LLM privacy research. Data & code available \href{https://github.com/tisl-lab/Interdependent_Privacy_Bench}{here}.