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Dashcam settings: auto vs. manual vs. honk

I am confused about the dashcam save settings. I have V11 software. When I get to the dashcam settings, I see that the "Auto" option is either fully selected or greyed out when I select the "manual" or "honk" options. Does this mean that:
  • "Auto" is always functioning in case of an airbag deployment or major collision, unless the "off" option is selected. That is, you choose between "Auto" or "Off" for major collisions.
  • You need to choose between "manual" and "honk"? That is, if you select "honk", then the dashcam icon does not save a recording even if you press on it. Conversely, "manual" requires you to press the dashcam icon to save a recording, because the horn will not do that. However, whether you select "manual" or "honk", "Auto" will still work in the event of a major collision.
Have I misunderstood the settings?

Background: I only got my M3 last November. I did not pay attention to the dashcam feature. My car was hit in the left rear quarter panel and took 1 month to repair. When I checked the dashcam videos, there was no recording of the accident, only a few sentry mode clips. I could not furnish my insurance company with footage that proves it was the other driver's fault. I am thinking that if I ever get into an accident or scary situation again, I need to honk or manually save a recording of the dashcam footage, since I can't rely on "Auto" -- is that right?

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