It seems like we’re missing the crucial step of how it all turned out OK. 2 paragraphs earlier they’re saying how red lights ought to ‘scare the shit out of you’ and ‘it’s too late once it turns red’.
Otherwise they would be useless, except for existential mockery.
Much like every human navigator I've ever had who has been as unhelpful as possible.
I imagine the reason that this is not done is the same reason as lots of sound engineering is compromised - marketing dweebs.
For an aircraft/spacecraft, red indicators should be used to inform the user to the most critical factors; stall warnings, fuel state warnings etc. And most importantly, the user should be able to act on these warnings, otherwise they're just too much noise and not enough signal.
Low oil doesn't tell you engine is dead, it tells you of an impending danger that engine may be damaged. There are any number of actions driver can take.
Same for tachometer - red says you are outside design optimal parameters and you should take an action (slow down) rather than risk possible impending engine damage.
Neither is "bad thing happened, it's done, there are no actions you can take any more" in my interpretation.
Pulled over, hood up, wiggled a few leads. Light goes out, hood down, back on the road, job done.