Actually one of the biggest obstacles to Level 5 is expectation of Zero Deaths for Level 5 autonomous operations. The standard should be fewer deaths than human-operated (or even auto assisted ) cars.
When you have thousands of machines traveling in close proximity at speeds exceeding 50mph there will be deaths, this is unavoidable. We need to reduce those as much as possible but to demand ZERO before the technology can be used is just unrealistic
That said, Just because some people are working towards Level 5, does not mean all of the other things you are asking for are not also being worked on, it is not a zero sum game. There are enough people that we can have teams working on both.
This complaint is repeated for everything, "Well if people were not working on X drug that I don't care about they could cure cancer"
We can have a better braking system, better frames, etc AND still try to achieve level 5 autonomous driving. It is not an either-or proposition