It won't help wreckers at all, because they don't care what will happen with them after crash, they only care how horrible trouble they cause to others.
illepall
I played FlatOut where the driver was a ragdoll dynamics model and to knock him (yourself actually? weird lol) outta the car was one of goals of this "original" game. From the popularity of that title I would guess it can attract many weirdos around, but in LFS I wouldn't see it as a reality level, to be honest.
Trying to think seriously about it (aside from I dn't need it in game), I would say that wrecked car which cannot continue in race is enough penalty.
Dunno, I am not too excited about this idea...