New Maserati aces crash test, but it hurts to see

Italian automaker Maserati says its Ghibli sedan has just received a Top Safety Pick rating from the Insurance Institute for Highway Safety.

Maserati is hoping the Ghibli can broaden its appeal and pull it from the outskirts of the auto market and more into direct competition with the likes of BMW and Mercedes-Benz. For that, it needs mainstream credibility. The good crash-test scores are a step in that direction.

Maserati requested the crash tests, the IIHS says, and the trade group picked at random from the Italian assembly line.

When an automaker asks for tests, it reimburses IIHS for the costs, including the price of the cars.

The automaker cannot censor the results. IIHS publishes the scores, good or bad. If an automaker makes significant changes, it can request a re-test.

TEST RESULTS: Ghibli gets top 'good' rating on all tests IIHS performed

The Ghibli, which went on sale in the U.S. in September, is a low-price model by Maserati standards, starting at about $66,000 for the rear-drive model with twin-turbocharged V-6 and about $76,000 for the Q4 all-wheel-drive model. Engines are from corporate affiliate Ferrari. Fiat owns Ferrari, Maserati and most of Chrysler Group.

The brand's main U.S. model is the Quattroporte, a four-door sedan that's about $104,000. A sleeker coupe model starts at about $126,000. Ghibli is 11 inches shorter than the Quattroporte flagship, but still is considered a full-size car.

Maserati has priced Ghibli to directly take on BMW 5-Series and Mercedes-Benz E-Class.

Maserati says the Ghibli ushers in "a new era of accessibility for the legendary Italian brand" and the Top Safety Pick rating should help make the Ghibli "a 'top pick' for sport sedan buyers."

But as good a rating as that is, it is a cut below the IIHS top score -- Top Safety Pick +. The "plus" is awarded only to vehicles pass the menu of IIHS crash tests and also perform well in the demanding "small overlap" front crash test.

The car pictured ab! ove went through the "moderate overlap" test, which is somewhat less demanding. Despite the fearsome damage, it would have protected occupants well, and got a top score.

The small overlap test slams 20% of the car's width, on the driver's side, into a barrier to see how much protection the passenger compartment gets when the impact is outside the frame and other impact-absorbing parts of the structure.

The IIHS website shows no results for that test. The results listed by IIHS for all the other test it performed on the Ghibli are "good," which is the best rating possible.

JPMorgan Reaches $4.5B Mortgage Settlement

NEW YORK (TheStreet) -- JPMorgan Chase  (JPM) reached a $4.5 billion settlement late Friday with 21 institutional investors in disputes over residential mortgage backed securities (RMBS).

As part of the deal, JPMorgan will make a binding offer to the investors in 330 different RMBS trusts issued by JPMorgan, Bear Stearns (acquired by JPMorgan in 2008) and Chase, according to an announcement from Gibbs & Bruns, a Houston-based law firm representing the investors.

The investors include Fannie Mae (FNMA), Freddie Mac (FMCC), Blackrock (BLK), Goldman Sachs (GS) and PIMCO, among others. The trustees of the RMBS trusts, including BNY Mellon  (BK), Wells Fargo  (WFC) and HSBC, among others, must still approve the deal and have 60 days to reach a decision. Claims of individual investors will not be affected by the settlement, which does not cover claims against RMBS sold by Washington Mutual, which JPMorgan acquired in 2008.

The deal is similar in many respects to a controversial 2011 RMBS settlement for $8.5 billion involving claims brought by many of these same investors against Bank of America  (BAC). That deal, approved by trustee BNY Mellon, is still being disputed by investors including AIG. Hearings have gone on for 32 days in New York State Supreme Court and a judge has yet to rule on the matter.

The settlement over bonds stuffed with mortgages that were fraudulent or in other ways didn't meet the criteria promised when the RMBS were sold to investors, is just one of various legal disputes tied to mortgage securities sold by JPMorgan or banks it acquired. 

-- Written by Dan Freed in New York.