NHTSA Complaint #11559763 — 2015 KIA SOUL

I own a 2015 Kia Soul. I am the second owner of this vehicle. I was notified by KIA of a service bulletin for having the software update to the ECU done to allow the knock sensor to put the car in limp mode if it detects knocking. I had the update done and now 1 year later the car went into limp mode and the notification was a P1326. I took to local dealer and they performed a bearing clearance test. The car passed the bearing clearance test but lower engine knocking is still present causing the P1326 Code / Limp Mode. The Local dealer said that the engine should be replaced. The Local Dealer and KIA Customer Service said the only way that KIA would replace engine is by failing the test. I do not feel safe putting my daughter back in this car and I do not think that I should have to pay for an engine that has known issues with metal shavings potentially blocking oil ports as described in the Kia Bulletin. Please assist!