Low inertia is only a problem if there is low skill. The AS350 has low low blade inertia, as well as many other models. That isn't a major problem, provided the pilot understands it and takes the proper actions at the proper time. Pulling full collective at 20 feet isn't the proper action, and will result in a less than graceful touchdown. In a 206 it might be recoverable, but there should be no need for the recovery in the first place.
In the event of an engine failure, a helicopter is far safer than any fixed-wing. Poor technique in either will result in bent metal, but even great technique in a fixed-wing can be futile, depending on the situation. Great technique in a helicopter will almost always result in walking away from the scene. At least you don't hit the obstacles at high speed.