How to go about displaying car damage?

Hello, I have this car that I modelled in 3ds Max and am going to import it into Unity. I want to apply damages to the car upon impact. The types of damages will vary depending on velocity and location of impact. However, I am not sure about how to go about implementing this...do I animate the model mesh inside 3ds max and run the animation upon impact? Do I make a new model and just replace the current one when hit? Or is there a better way inside Unity to do this? What is the best way to go about doing this? Thanks.