That's absolutely true, however, I did not mean it to take the place of whatever they have running right now, I meant for it to be an input into a system that can detect if there is a potential problem and the driver should be alerted.

Because if I interpret the video correctly either the car was partially in the wrong lane before the near accident or it was about to steer it into a situation like that. And that means it is time to hand off to the driver because the autopilot has either already made an error or is about to make one.

Either way the autopilot should have realized the situation is beyond it's abilities, and when GPS and camera inputs conflict (which I assume was the case) that's an excellent moment for a hand-off.