Using TEP for once for replacement

[Esmartuek]

I dropped my phone for the last time yesterday. I jumped on the Sprint site to make use of my Total Equipment Protection thing and they overnighted it here (it's being held at fedex still?)
I took the opportunity to rip my phone apart, since I've been dying to since I bought it the day they came out.

My biggest concern: I can't do anything with the SDHC. It's locked/encrypted? I need to erase it's contents. I don't need Sprint or Asurion or whoever snooping in files that they should not be seeing.
Should I just bite the bullet and open up the new one when it comes in and toss in my old SD?
I honestly don't care about upgrading the SD, I just wanted to erase that SD before I send it in. The circuit board in the phone is toast, it's fractured from the fall (the phone has taken quite a few falls, way more than I would expect any phone to withstand... all up until this one without a scratch)

Also, has anyone used TEP after having 'voided the warranty' by unscrewing that top screw? Do they care even if you paid out that $100 deductible? (I can imagine they would care if it were any other type of failure, but physical damage sounds like open game for playing with the innards)