The deformation and such looks very nice, but the physics and all that - meh. Of course I canot compare those two, because the video you linked are pre-rendered stuff (and physics), while LFS is "live" physics.
Either way, more detailed damage is a big +1 from me, hopefully we'll see that in the future.
I dont want play rigs of roads ,i want play lfs with these damage... 1 mistake on track and you dont survive ,then you drive like real life you dont have this attidude " i dont give a **** " then you think when you drive like cheating death..
more hard and realistig damage is this what we need !!!
Lfs is realistic driving simulator . LFS is best and i love it,BUT in LFS if you drive 250km/h in to the wall crash then u can drive after crash but its not realistic..... 1 big mistake and game over