I drive a large SUV and live in a rural area. A rural area means I have to drive to cities to do/buy many things. I can only afford one car.
I do not need to pay extra insurance or undertake extra driving, or all of the other things you suggest. I can drive my 4x4 off road, in snow, through water when needed, which it frequently is. I can also tow the trailers I need to tow and reverse them when needed on both rural roads and in cities.
As I can only afford one car, that car is used for everything, yet you wish to restrict or charge me extra.
Accidents and/or criminal actions involving all forms of transports occur and will continue to occur, any loss of life is sad for everyone concerned, especially when children are involved but that does not mean other peoples lives should be curtailed or financially impeded.
Cars are now much safer to travel in, some are big, some are small but all are safer for the occupants. In addition, many tests are done on them to ensure, should they hit pedestrians they are also safer, but a car hitting a pedestrian normally means the pedestrian will fare worse - the only solution is to ban cars.
Knee jerk reactions are a plenty in life and they are normally not the right reaction and only ever cause further problems.