Sorry to hear that, hope you are o.k. Personally I would take the money and fix up as little as possible and turn it into a beater. (read all used parts, missmatched paint, sledge hammer alignment)
Frontal airbags are useless when compared to a seatbelt. However, I am a fan of side curtain bags. She can sell the car in any condition she wants, although she must disclose any accidents.