iphone xs max face id and true tone issue after update

I had a really bad experience with Apple today, had been to the service center to fix my Face ID issue after the latest update.

The service center response was saddening to the fact that , they told me a repair for this issue was not possible. The only solution to this was to get a phone replacement done. The cost was about the price of a new phone. I had purchased my Xs max 1.6yrs back for about Rs1.2lakhs and now for a replacement dey want me to pay Rs67000 since out of warranty. Is there something that I can do to escalate the issue , it’s like customer are scared once the warranty is done. Please do guide me if something could be done about this. The phone had no issues until the recent update.Now they say the hardware is gone. I can’t understand all of a sudden how, if it was an existing issue it’s something to do with Apple. I hope they take some responsibility for the amount we pay them.