Warranty Changes

I took out a cellphone contract from the Apple Store in Waterfront Cape Town and was told at a certain extra cost that should my phone be damaged that it would simply be replaced for a new device in the store. I paid for this service up front and this was one of the reasons why I took the contract. I dropped my phone today and smashed the screen. I was not worried because I knew I paid for an insurance package that would allow me to pick up a new device on the day. It turned out to be a different story. The store changed their policy as phones now have to be sent off to JHB to ensure parts weren't missing in the damaged unit. I was not told this in the beginning and am without a phone now for 7 days. The lady at the Istore ran a diagnostic to see if the phone was legit. Then why still send it off to Jhb if the diagnostic proved legit IN the store? Surely they have new phones in the Cape Town branch? They could not even offer me a loan phone. I am not impressed as this was not what I had understood and what they had agreed upon when I took out the contract