unfortunately, if i was the insurance company, I would debate the same thing. nothing touched the front. that's like saying that my xenon lights went off because i broke my tail-light (in their eyes)

The control unit would be the better route, as this could have been damaged due to the hit. Is this body shop a BMW recommended one? Hopefully it is, as it is easier to coordinate with the service center in diagnosing/replacing parts.

Good luck!