Some disassembly is in order, I believe.
When the cam jumps timing like that, the worst thing that could happen is that the piston meets the valve at a high rate of speed. That high-speed contact is usually where the carnage happens.
If you're worried about your dealership jerking you around, ask to see the damaged parts they're replacing before you authorize any work from them. Sometimes the damage is a little more obvious; a cracked piston will have a crack in it, a bent valve will be bent, etc.
Have your dealer save all the old parts they remove so you can do some measurements on your own (and, you know, report back to us!). There's a measurement in the service manual for the service limit of a cam chain (x inches per number of links) to see if it's stretched. If they replace the cam chain guides, check the old ones for damage/wear.
My motor is getting a little rattly, and I'm at 10K miles. I've also got a manual tensioner on order, so hopefully that solves that issue. A new OEM cam chain is ~$15-20, so I'm probably going to go in and swap that out as well just to be on the safe side.
Were there any other symptoms that you noticed prior to this happening? Did it just up and jump timing?