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Sorry this happened to you OP, but insurance will cover most of the cost for a replacement. At least you and your passengers were okay as the car absorbed most of the impact. The only recall on airbags I'm aware of are for shrapnel from the Takata air bags that were used as replacements in some accident vehicles that were repaired. It looks like your car was rear ended and then rear ended another vehicle or was crushed so the rate of deceleration might not have been enough to fire the air bags. I believe the accelerarometers are on the front and side so a rear end collision won't fire the air bags, would need to do an investigation if they were defective. On another note, the adjuster may have totaled the vehicle even though it is repairable so they can take ownership of it and sell those sweet rims on eBay to make a profit on your loss. If you can't fix it and sell as salvage you could part it out and come out ahead. That's probably the reason insurance companies would rather declare a car a total loss as it is more profitable for them.
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