2003 Saturn Ion Split Radiator

Engine Cooling problem
2003 Saturn Ion Two Wheel Drive Automatic

In Feb, 2010 the COOLANT flashed on.
I checked the antifreeze level - it was a little low - so I added some more.
The next day while driving home, the COOLANT light went on and stayed on.
The car was leaking antifreeze - very little in the container.
The car was towed to the shop.
I was told the car was "badly hit"
Diagnosis: radiator was split, possibly the head gasket blown.
Air conditioner condensor damaged, damaged engine head. I believe he said the drive line was cracked also.
The Mechanic's first statement was that I had been driving with out any coolant.
Was told it was too expensive to fix.
Insurance adjuster agreed with Mechanic.
The day before the car was working fine. Heater, defroster, air conditioner - working fine.
I purchased the car in JUNE, 2009
There were a two or three times during the time
I had the car that the fan would stay on after I turned the car off. I took it to a shop and was told that this is normal.
I always carry oil, water and antifreeze in my trunk and check all the fluids regularly.
so was really surprised to hear the extent of this damage.
In July 2009 while driving down the freeway - something rolled under my car - looking in the rear view mirror - it looked like a log of wood about two feet long. But no problems after that.
Is it possible for this much damage from something that happened a months ago?