This reminds me of the day I took my DS and DD up to London for the day, the first time they were no longer in push chairs.
I emphasised that they must hold my hand as there might be 'bad people' around. DD was fine - took it all in her stride.
DS on the other hand, clung to me like a limpet the whole way round London eyeing up every passing person suspiciously and asking in a very loud voice whether they were a 'bad person'. Cue lengthy discussions as to the fact that bad people don't actually look like baddies etc etc. Meet with wails of 'well how will I know' and 'how do you know' in the generally vein of 'well now we are all doomed if we can't even tell who the baddies are'[GRIN]
Since that day I have given rather more consideration to DS's likely response to my rather carelessly uttered warnings on the perils that life holds!!
Well I'm tempted to make a sarky comment about not having cars in the 'country'
But no, I also tell things how they are - my ds1 is also now a bit ott in that he will tell me off if I am not on the pavement or if I cross on the red man. And I have also heard him saying to ds2 when he is crying 'don't worry, mummy isn't going to die'....
you could try reassuring her that it is safe on the pavement.....
Don't think you were too honest CD. She will probably settle down in time. My DS is another who takes things to extremes, tells me off, is forever scuttling round to the side of the pram away from the road etc.