Ok now wait. My 2012 5.0 had it's front axle stripped by the previous dealer when they took out the engine to replace the front timing chain cover seal, as part of the N63 campaign. It was/is still under factory warranty so a new axle was covered in full (not to mention the other dealer screwed it up).
I was talking to my SA while there about the CPO warranty and asked if this would have been covered under that (rather than the new/factory warranty) and he said that it would have been.

Maybe he meant that because BMW dealer damaged it that it would have been covered either way?