The argument that small cars aren't safe because of the vast number of gigantic SUVs is a straw horse that causes people to buy large vehicles out of fear.
If a significant percentage of Americans can shake the fear, the chances of running into a much larger vehicle decreases.
As an aside, the percentage of subcompact vehicles in Canada is significantly higher than in the US, so it is possible to drive smaller vehicles in North America.
And again: those of you concerned about the safety of the Smart cars should check out the crash test videos and data. I invite you again to take a look here:

http://www.youtube.com/watch?v=ju6t-yyoU8s

and comment this video.

Anyway here in Europe we use smaller cars in terms of size and power than USA.
In USA death rate per 100 million vehicle miles traveled was up from 1.44 to 1.46, In Europe the rate is little lower. 

The damage in an accident come from a sudden change in energy - And energy is a function of mass and velocity. If a car is lighter, it will cause and recieve less damage in an impact, the exception to this being if you are wedged in somewhere (maybe crushed by two semis or something). Extra protection comes from a chassis that acts as a cushion to absorb energy. Basically, imagine crashing into a brick wall with your SUV, versus crashing into a giant beach ball with your SUV. The beach ball will be less damaged, even though it is weaker and lighter.

Is clear that if you have a car crash at high speed the body damage would be the same on a SMART or on a SUV, because the rapid deceleration that damage the internal organs (and not because you have a BIG or a SMALL car).