Do npc's in Skyrim drop daedric armor? Or is it a smithing only thing?

I'm level 54, I've only seen two batches of daedric arrows ... that's it. Is this right? What level will I start seeing npc's with daedric armor?

You have a chance to see it drop from lvl 48+, but it is rare.
You'll typically only see it from master-locked chests at the end of dungeons.

Don't obsess too much over it though. Ebony armor is nearly as good, and you should have seen plenty of that already.

They can be found in chests rarely, using the Atronach forge under the college is the easiest way to get it if you're not leveling smithing.

So far I have seen 3 deadric pieces drop (2 war axes and one sword) but I have yet to find any armor pieces. I would imagine even after level 48 only a handful of chests can drop them.

I was also able to find the above mentioned daedric sword at level 4(!!!) from the last chest in shimmering grotto. So it seems there are some chests that can drop deadric items at practically any character level.

Sometimes on random pressure plates as well. I saw some gauntlets on one a while back.

I've grabbed a set of gauntlets and boots as scripted loot from the DB questline, was given a sword from General Tullies, and could buy a couple Daedric bows from a Kajit caravan.. Other than that, nothing, and I'm level 65.

I don't really see the fascination with having the armor drop as loot though... You can get the armor/weapons easier & faster through crafting, and you can upgrade them to be WWAAYY better than they are by default.

Its the sense of discovery and achievement. Everyone can power level smithing and collect hearts but not everyone gets lucky enough to find one "in the wild".

I see weapons drop a lot. Haven't seen any armor.

Once in a while, the scaling bugs out majorly when you're low level.
I had a lvl 5 character meet draugr wights and deathlords with ebony weapons in Dustman's Cairn.

I think those specific deathlords always drop it, as will the ones in labyrinthine and lost valkygge.

I found Daedric Armor in a Master Chest at a Dragon Word Wall at Level 50.

It drops at high levels, but it's still extremely rare.

Haven't seen any Daedric Curiasses but it's possible after level 48, you'll probably have an easier time smithing the armor then getting it in a drop. I do agree that Ebony is just as good and infintely more common.

Deathlords nearly always carry ebony stuff yeah, but meeting six of them them at lvl 5 on the first Companion quest?
That fight took a while

That's nothing. My Level 81 fights Deathlord after deathlord after deathlord after deathlord after deathlord.

Barrows are now just filled to the brim with nothing but Deathlords.