>>1119042There's just less metal to protect you in a small car. The crumple zone is basically your knees. Cars have been getting heavier and larger since the 80s to meet safety requirements. Small hatchbacks under a tonne used to be quite prevalent but not any more. Those cars are great, but they're awful to be in if you crash.
Kei esque cars are way more efficient for city driving, but imo cars shouldn't be used for this purpose anyway. In a city the only good reason to have a car is to take it on road trips, which something tiny isn't great for. It's the wrong solution. Cars should be small, but not that small.