Not really. When apple replaced damaged devices they are acting as the insurance company.
Incorrect. They are choosing to replace at their discretion in lieu of repair under warranty. It is warranty, not insurance. Insurance coverage of an automobile when totaled has nothing to do with warranty. It’s purely a value judgement by the insurance company. Almost always you are dealing with a third party insurance company that takes ownership of the salvaged vehicle and provides you the remaining value of the car optionally (though usually) minus deductible, and then you decide whether or not you buy a new car. If you have a policy that automatically provides a new car, that has nothing to do with Mercedes and everything to do with the insurance company and your policy.
I know that there are vendors that insure phones, like SquareTrade. I don’t think that they replace with a brand new phone in every case, though.
So? That isn’t replacing my $1,000 iPhone X with a new phone.
“What I can, and do, do when my car is in for repairs is to demand that OEM products be used.”
As others have said, that is still your old car with OEM parts. Still your old car, not a brand new car.
But my answer to that was that this is no different from Apple, which does the same when they repair devices. Replacement devices from what I understand are brand new. Refurbished devices (if Apple does use those for warranty replacement) are certified like-new and almost surely no older than your old, broken phone, but, like your broken car, repaired with OEM parts. Apple could chose to repair a broken phone, but, as we all know, smartphones, unlike cars, are for the most part unrepairable. Apple's warranty, which you accepted as part of the sale, gives them discretion to repair or replace the phone with a device that matches what you originally purchased or a better device if what you originally purchased is not available (at Apple's discretion but with your agreement in this case.)
(By the way, the fact that you can demand OEM parts from a third party body shop for an automobile but not for a smartphone, is, like automobile lemon laws, due to laws and regulations, not out of the goodness of the car manufacturer's hearts. They fought right to repair laws tooth and nail. Many people are pushing for similar right to repair laws for consumer packaged goods like smartphones.)
So, which is your replacement device based on the model number? Refurbished or Replacement?
Also, my last post to you, I strongly encourage you to buy a different brand phone, a brand which will do a warranty exchange with a brand new, non-refurbished or non-remanufactured, device. If that is what you require from your smartphone vendor, vote with your money. (If one exists.) For now, caveat emptor. It was your responsibility as the buyer to know the repair and replacement policies of the vendor. Apple publishes it and it’s easy to find if you look for it.