Since part one/part one, racing aficionados have been clamoring for crumpled cars in their Real Driving Simulator. And for years we've been given excuses after excuses as to why it wasn't possible. For the most part, the manufacturers wanted extra money or something like that. So when it was revealed that part 5 would at long last feature jalopies (this was like, I dunno, the year 1987; the game has been in development for that damn long), everyone collectively went "about damn time!"
And then the following showed up:
Yeah, my thoughts exactly. It would seem that to represent crash damage, the textures are simply scrambled, a la the distortion brush in Photoshop. Quite the shocker indeed, given the series' pedigree for jaw-dropping realism. Via Kotaku.