Perhaps people get rather too paranoid about the 1.6 Hdi unit. After all, it is one of the most commonly used diesel unit in the world and there must be millions in use, most of which don't blow up!
I would not be surprised if the failure rate for these units is not that different from many others that no one seems to think have any issues. It could all be largely a matter of perception. This tendency applies to cars in general. For example, if a French or Italian car goes wrong the first thing many people will think is 'Ah, what do you expect? That just proves what a load of rubbish they are / what dodgy electrics they have etc. etc'. On the other hand if, say, a Volkswagen goes wrong the first thing that many people will think is 'That's unusual, Volkswagens are very reliable so that must have been a one-off'. The underlying failure rate might be pretty much the same, and a company's reputation for reliability built on a vehicle that the company made 50 years ago, but such facts, even if pointed out, won't do much to change what people feel they already 'know'.
Try pointing out that most manufacturers these days just assemble cars from parts made by the same manufacturers as supply bits for their favourite BWM or whatever, and many will refuse to believe it. For example, if have seen people seriously arguing that companies such as Sachs and Bosch make good bits for BMW, but sell rubbish ones to Citroen, Fiat or whoever!