Right: this accident in Mexico was apparently caused by a driver texting and failing to see a group of cyclists.
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Background information
(Most of the information found below has been abbreviated from the Wikipedia entry titled 'Mobile phones and driving safety'
The full text of this entry can be accessed at http://en.wikipedia.org/wiki/Mobile_phones_and_driving_safety)
Mobile phone use while driving is common, but widely considered dangerous due to distracted driving. Many jurisdictions have made the use of a cell phone while driving illegal. Laws have been put in place to ban handheld mobile phone use, but most jurisdictions allow the use of hands-free devices.
In some cases restrictions are directed only to minors or those who are newly qualified license holders.
Accidents involving a driver being distracted by talking on a mobile phone have begun to be prosecuted as negligence similar to speeding.
In the United Kingdom, from 27 February 2007, motorists who are caught using a hand-held mobile phone while driving will have three penalty points added to their license in addition to the fine of S60. This increase was introduced to try to stem the increase in drivers ignoring the law.
Japan prohibits all mobile phone use while driving, including use of hands-free devices.
New Zealand has banned hand held cell phone use since 1 November 2009.
Many states in the United States have banned texting on cell phones while driving. As of July 2010, 30 states had banned texting while driving, with Kentucky becoming the most recent addition on July 15.
Current legal situation in Australia regarding mobile phone use while driving
It is illegal in all Australian states and territories to use a hand-held mobile phone while driving. This includes talking, texting, playing games, taking photos or video and using other phone functions.
Using a hand-held mobile phone is also illegal when your vehicle is stationary but not parked (when stopped at a traffic light). It is illegal to use a hands-free phone while driving if it causes you to lose proper control of your vehicle.
Learner and P1 drivers are not permitted to use a hand-held or hands-free mobile phone while driving.