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This paper proposes a theory to analyze the collision avoidance capability of automated driving technologies. The theory gives answers to a fundamental question whether automated vehicles fall into extreme conditions at all rather than another question how a vehicle reacts under extreme conditions (is it as safe as driver?). The theory clarifies the following matters: There are two types of hazards to cause collisions, cognitive hazards and behavioral hazards. Cognitive hazards are handled by controlling the upper limit speed of the automated vehicle including when stopped. There are two methods for handling behavioral hazards, preparation and response. The response known well is the coping method activated when the hazard is detected in the dynamic (operational) level. The preparation is the coping method operating at all time in the semantic (tactical) level.