Should I replace an iPad Air 2 of which the frame has been bent?

My 64GB/Cellular iPad Air 2 is about two months old. I'm very careful with it. It has been in an Apple SmartCase from day 1.

A few days ago, I noticed the area around the front-facing camera was slightly (perhaps a few millimeters) protruding out of the SmartCase. In just that area, it looked as though the top-half of the frame was becoming separated from the bottom-half of the frame. I could press the frame down but it immediately protruded again. I figured the adhesive had failed, resulting in the separation. There are no other apparent issues, not even with the screen.

A staff member at the Genius Bar of my local Apple Store took the device out of the SmartCase and proceeded to show me that the back of the case was sightly bent, only at the top. The staff member told me this was not a warranty issue and that my only options were to live with it or to have it replaced, out of warranty ($$$). As a courtesy, the staff member immediately ordered an out of warranty replacement. I'm at a loss as to how this happened, especially since the case was not (and still is not) bent in the slightest; the staff member said is entirely possible with the SmartCase. The only thing I can figure is that the SmartCase and the device experienced minor stress while in in my travel bag--enough to bend just the device.

Upon returning home, I exerted slight pressure on the frame such that it now looks completely straight, resulting in the apparent elimination of the separation. If I didn't know better, I wouldn't think anything was amiss.

My SquareTrade insurance policy covers replacement of the device, with no deductible. The remaining ten months of the manufacturer's warranty would be transferred to the replacement device. The staff member told me the replacement device has never been used; yet it's presumably not "new". Is it likely that the integrity of my original device has been weakened such that I should go ahead and replace it?