I don’t care how good your models and data are, until you’re able to write an algorithm that can fully handle and learn from a situation it was completely unprepared for, it will always encounter edge cases like this.
This is what happens when we have a society of people saying AI is already here, people like Elon Musk saying AI is a “significant threat” despite "AI" being essentially a black box statistical model in it's current form. From what I’ve seen, the general public thinks we’re 20+ years of AI than we really are.
You need general AI before AI can drive a car, full stop. Otherwise, you need to isolate roads from other human drivers pedestrians, and cyclists. It just won’t be reasonably safe until then.