I just wanted to hop in and dispel this myth.
Black Tie Protection is great for the fact that there is no deductible and they cover any and all damage to the phone, including water damage.
However, they DO NOT automatically issue you a new phone. When you bring your phone in, BBM will issue you a loaner phone. They will then take you over to Geek Squad to send your phone off to attempt to be repaired by whichever vendor they happen to be using at the time.
The vendor will then (over the course of 1-4 weeks) attempt to repair your phone. If they are unable to repair your phone and have a unit available, they WILL send you a refurbished phone. If, after 30 days, they are unable to repair your phone and no refurbished unit is available, you can visit the store and they will do an equipment swap that day for a new unit.
I am very familiar with this process because I have had to send my DROID off for repairs twice and have been without it a total of 7 weeks since purchasing it. I am now beginning to have a problem with the micro usb port, so per their lemon policy on the third return I have the option of switching to another phone retail -> retail.
Needless to say I will be switching to the Incredible which seems to be a more quality phone. I am also looking forward to the faster Snapdragon, internal memory and Sense UI.
Come on little DROID, hold together until the 29th!