I've noticed that part's cannot break into smaller pieces so they will just keep stretching. I was thinking that maybe if you could find the point of pressure, you could have a setting like, (If stress is over X, slice outward from point of stress) I am not a programmer and I know there is a good reason for this but I just had a thought. Here is a sketch.
The problem with this approach is twofold: it has to work for both the visible mesh and the underlying physics structure in exactly the same way. In the case of the mesh, dynamic slicing involves extensive modification of the geometry (basically adding one or more edge loops), which requires a decent understanding of how the car is constructed, and a computer simply doesn't have that intuition. Furthermore, the concept of slicing parts undermines the paradigm of node/beam structure since it would require the dynamic creation of more n/b in real-time. One could easily conceive of a situation (such as a severe accident) in which the sheer amount of dynamic n/b alteration would cause the number of nodes in the vehicle to double, resulting in a severe framerate hit. Stress also exists uniformly within beams, so failure would only occur at the centre point. This is already approximated by the removal of the beam when it breaks. I think a more viable option would be the addition of a simple particle system that uses predefined mesh particles to approximate the shattering of smaller pieces. Large parts of vehicles already behave very realistically (really only limited by the skill of the vehicle designer), but very small fragments should use a less cpu-intensive approach. See my suggestion here: Particle-groups
It's a great idea , but i don't think cars deform like that , instead they produce chunks of ..metal ? or paint . For now i'm still sticking to the original particles