So I really don't know how engines work, but I do know that in demolition derbies, when a car gets hit where the engine is the radiator starts to have smoke rise out of the grill. I think this would be a nice touch to the game. (I searched and I didn't find anything about this, please correct me if I am wrong) A example picture Sent from my iPhone using Tapatalk
Yes, the devs plan to add a really in-depth engine damage system, which will definitely include busting a radiator and a bunch of steam coming out.
BTW, that's steam from the hot water. If you have that green coolant stuff instead of water I think it just leaks and doesn't release any steam.
The green stuff is less prone to boiling, however it still can produce steam provided the engine overheats and the radiator is punctured (or you remove the cap).
Usually you mix the green stuff with water, and the more green stuff, the higher the boiling point, and lower the freezing point. So it all depends on the engine temperature I guess.