I have no position on helmet laws (my biggest beef is the lack of acceptance of lane-splitting around here), but I don't leave my driveway without at least a helmet (and if it's more than a quick test drive around the block I wear every piece of gear I own). Come to think of it, I feel weird riding my bicycle without a helmet.
Only eye protection is required here in Colorado, but I have to shake my head every time I see bikers with nothing more than sunglasses.
As for where the line should be drawn and by whom, ideally it is drawn by We the People, wherever We choose (although this is necessarily a compromise). What too many people fail to realize is that in a democracy, government is the responsibility of every citizen. I've heard that politicians often complain that they don't hear from enough of their constituents. If you have an opinion, make sure your elected officials hear it!