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Exactly.
The caveats described are mechanical limits rather than human elements.
The scenarios are "Drunk person walking in front of car within the car's stopping distance".
I still reckon the car will act far more sanely with respect to everything else that is happening on the road at the time... the drunk person will definitely be hit, but the car won't have swerved across the road into oncoming traffic or mounted the kerb, etc.
Velocio
http://www.telegraph.co.uk/technology/news/11350524/Driverless-cars-may-never-be-safer-than-a-human.html
They'll be safer than most Jag, BMW and Audi drivers though, that's for sure.