Here's some options. First, I think it's pretty bad they won't exchange the phone for you. That's pretty clearly defective, and that they're making you do an insurance claim is crappy. I know at the retailer I bought it from you can do a no-questions-asked return if you have your receipt within 30 days of purchase, but I guess not everywhere is like that. FWIW I don't think that the terms of the insurance cover latent defects in phones, that's a warranty issue. I'd go back to the retailer and demand an exchange because it's a defective product. If they won't help you, call HTC at 1-888-617-1113. HTC gives a 1 year manufacturer warranty and if the phone is actually defective they should be able to send you a new one. If they can't, then you're back to square one:
So you can file an insurance claim, pay the deductible, and get another phone. You can probably fix the issue for free though, if you'd rather, but it would require you getting your hands dirty, so to speak. Pull the battery out of your device, reinsert it, then hold down Vol - and Power at the same time and you should get into HBOOT. If you can get that far, you can do this yourself most likely. You're going to basically have to unlock the bootloader, flash Apache Thunder's rom (which is a stock Boost ROM, post June OTA but with root access here:
Link. And then you should be all set.
Note that these two options *may* be mutually exclusive. In other words, if you go the second route and try to do it yourself, that may end up voiding both your warranty as well as *technically* violating the terms of the insurance coverage. You know how on computers there are stickers that say warranty is void in case this is removed? Unlocking the bootloader is a lot like that, once you unlock it you get to tinker with the phone but anyone that gets the phone will know it's been unlocked.
That being said, it's very difficult to "brick" this phone. So you're probably safe if you want to do it yourself, even if you're learning as you go (though, as anyone will tell you, no one is responsible but yourself if you do bork your phone, blah blah blah).
So anyway, that's my .02. If you have more questions, just ask!