The RepairPal estimator indicates the $150 estimate is a bit high, (http://repairpal.com/estimator/results) perhaps there are some diagnostic charges includes in your estimate.
The problem could be with the anti-theft system. Please visit the following link for more information: http://repairpal.com/car-wont-start-because-of-anti-theft-system-that-uses-raised-chip-key-032
The temp gauge signal comes from the PCM which relays the signal from the engine temperature sensor. I would suspect the temp gauge is no longer working due to an internal cluster fault. If the coolant sensor signal to the PCM is OK when monitored with a scan tool, repair or replacement of the instrument panel cluster will be necessary. Please note if the original cluster is repaired, no programming should be necessary. If the cluster is replaced, the new cluster will require programming.
If you cannot pull the key out with a pliers, The lock cylinder will need to be removed and disassembled to remove the broken key.
It is not uncommon for the temperature gauge to rise a bit when the vehicle is stopped, before the cooling fan turns on. If the gauge is going in to the red, it could be that the electric cooling fan is not working properly.
Your warranty company may be calling the hydraulic valve assembly the "ASE Control Unit" and the electronic brain the "ABS Module" But these names can be used interchangeably. I would recommend you have your insurance company explain what they mean by "ABS Control Unit".
Most manufactures would consider 1qt of oil every 1,000 miles normal usage. That being said, it may be the oil control rings on the pistons are not working as they should causing oil to burn during the combustion process. It may be possible to clean the rings using a "top engine cleaner". Please talk with you local technician to see if they think this will work for you.
The most common reason for the battery light to come on would be a failure in the charging system. It could be the alternator, but with the cost involved in replacing the alternator, I would recommend having the problem diagnosed before simply replacing it.
Your flashing check engine light indicates an engine misfire. You should have the problem diagnosed and repaired as soon a possible. A flashing check engine indicates an engine misfire severe enough to damage the catalytic convertor. Please using the following link to find a repair shop near you -http://repairpal.com/toyota-within-10-miles-of-06770
Check to see if your key looks worn. If so, try a new key and see if that works better. If your key is worn and you don't have a spare, have a new key made using the factory key codes. Don't simply have a copy made of your worn out key.