Of course, safe driving distance is important there - I'm not claiming otherwise. It was my safe distance that made it possible for me to stop. This is entirely besides the point though, as my human senses were entirely letting me down in that situation.
There's actually a good video of almost that exact situation by.. I think it was a Tesla. It started beeping with little visible reason why. Turns out, the traffic two cars ahead was at a stand still.
I can see what you're saying about automation, but I still think it would be a net gain in most scenarios. Though, I imagine it would be best to let people turn that off, but keep warnings intact.
Effectively, if you get into an accident with a car infront or to the side, you aren't at fault when the guy right behind you hits you too.