Two factors.
Physics. and age/maintenance of the hitch.
First that hitch looks worn out and maybe had been corroded by road salt that sat too long, or never got washed off from the hidden parts of the hitch.
But I think the explanation give the biggest clue (Towing car trailer that went off road/ditch?). It wasn't about towing weight. It became about sheering forces of a a trailer that probably over-rotated in the jaws and something had to give.
Kind of like what happens when you use a 5 ft crowbar to pry two boards apart. The further away from the fulcrum you are, the more the forces were magnified.
This is why the military uses a pintle hitch on practically all off-road trailers. A pintle works by joining two rings (one on an X axis, and one on a Y axis) which can each rotate 180 degrees independent of each other.
Inspecting the hitch and keeping it clean of salt and corrossives would have helped, but frankly it just looks worn out.