Dear sad to hear the ordeal you had to go through for a rather trivial and common issue of over heating.
Not necessarily an engine goes out of service straightaway.
remember that all dealerships have labor hired with mechanical diplomas and mere 20-50K salary. The staff is not trained enough to carry out proper tasks like engine over haul and even if they do, they are probably learning on your vehicle.
if the issue really do get that bad which requires an over haul, always look for good mechanics. discuss with them. clear your understanding before opting for a solution straight away.
they had no right to test your car without a proper driver and to make it worse hit it and cause damage and depreciate value.
anyways best of luck with getting the car properly fixed and yes we should be careful in blindly trusting the dealerships always.