Earlier quoted context omitted.
The moral choice is the opposite direction: the car should prefer to kill the occupant than a bystander. The occupant is the reason why the car is in use; if it fails, the penalty for that failure should be on the occupant, not bystanders.
This is a great argument if your goal is no autonomous cars. Nobody buys a car that will choose to kill them.
One might think that we're not talking about inconvenience, but we are, because after all any car may be driven slowly enough to avoid killing children in the road. A particular robocar that is not driven that slowly (which, frankly, would be all useful robocars), must avoid killing children in the road above all other priorities, including the lives of passengers. A VW-like situation in which this were discovered not to be the case, would involve far more dire consequences for the company (and, realistically, the young children and grandchildren of its executives) than VW faces for its pollution shenanigans.