Alex Tabarrok wrote that in certain circumstances requiring safety features on cars can actually detract from, rather than enhance safety:

• Indian auto manufacturers recently released a series of low cost cars that have a safety rating of zero stars, due to their lack of features such as air bags.
• Because they lack any bells and whistles such cars are incredibly cheap – one can be had for as little as $4,000.
• Adding air bags could cost as much as $400, increasing the price of the vehicle by a substantial 10%.
• Only 6% of Indian households have cars, but 47% have motorcycles.
• Any kind of motorcycle is more dangerous than a car. And not even the most advanced motorcycle has features like airbags.
• If low cost cars can convince Indians to switch to four wheeled vehicles, safety will dramatically improve – even if the cars themselves lack common safety features.

Read more of the argument here.

Source: Marginal Revolution