And I firmly believe that if a company sells you a product and claims that it is fit for a particular purpose, you should be able to get your money back if it turns out that this was not the case.
Okay... and you also expect the car manufacturer to replace the car your wife crashed?
When you buy shiny sleek phone with edge-to-edge screen you should understand this is not a phone to be dropped or sat on. It is not possible to fit so much screen, electronics and battery into such sleek enclosure and make it drop resistant. If you need drop resistant phone, there are phones that advertise the feature (see: https://www.techradar.com/best/best-rugged-smartphones)
In other words, dropping an iPhone is not an intended use of the phone.
That still means if there is a hidden fault in the phone or they brick it by sending an update, they are still responsible in my understanding. But no longer if I give the device to family member and he/she is careless enough to sit on it.