I called Apple, and told them about the dock crack, mine are very small. I said it was never dropped and therefore i didn't crack it, it must have been a case defect or stress. The apple rep. said he totally understands and gave me my options (since i have applecare and its still under warranty). Basically they put a hold for 600$ on my credit card (for the new iphone) then they shipped it to me, it should arrive wednesday he said, and i will ship mine back. When they get my old iphone they remove the 600$ hold.
I will always have a phone and i think this whole thing will only cost me a 10$ fee or something. I think thats totally okay for a new iphone because a tiny crack no one would notice with looking very hard for.
I suggest to call apple, i told my friend about this and she had the same crack and they did the same for her. Never once did they even ask to see my phone, they took my word on everything.
Very nice to deal with no hassle at all!