As to damage, given the size, probably not a whole lot if it just died and fell. Might kill someone who's incredibly unlucky. But consider if it flew around at a really low altitude: power lines, people, windows, all in range of the blades. Given that it went 23 miles on its own, having working ground-avoidance software isn't an unreasonable assumption.
I see no reason to assume it would have any ground-avoidance software besides flying higher if it detects it's near the ground.
Now say the go-down routine gets abnormally high importance, or fires off a million times per second.
Unlikely? Yes, but so is what happened. And I specifically included "consider if", because it's not what happened, but could conceivably, and was probably one of the panicked fears going through their heads.
Let's put that Chevy 'Like A Rock' slogan to the test!