Forced to pay for damaged tablet

In March 2015, I bought a tablet from Homechoice on a 24 months contract. It was then delivered at my home. Upon receipt of the same i discovered that it had a manufactures defect as it was not working in the sense that it did not want to read a sim card. It kept on saying insert sim card yet it was inserted. I reported the matter to Homechoice and they collected it from my home. A week later i was told that a claim was submitted on my behalf to my insurer. I asked why because it was not damaged by me. I was told that it was a company policy. On the 10th of September 2015 i received an sms from Homechoice that my insurence claim was unsuccessful. I called Homechoice on the same day and spoke to a person by the name of Sidieka who acknowledged that there was a manufactures fault with the Phone but since they were not aware of the fault at the time the phone was sold to me, they are sorry and i am still liable to pay. At this stage they are keeping the phone and i am still paying for it.<br> I hope to hear back from you about this incident soon. You can contact me at *** or email me @ ***<br> <br> Thank you for taking time to read this letter.<br> Sincerely<br> Tholake