While I'm sure it was an alarming experience, and I hope that there is a speedy and satisfactory resolution for the OP, I don't think losing the front U joint is anywhere near a life threatening experience.
Yes, the loose front end of the driveshaft is going to flail about, smack into the sheet metal, gouge and dent things, and make awful noises until the car comes to a stop. The released bolts may have caused damage under the car, but I don't think they'd reach a velocity so they would punch through the under-body and cause human carnage - certainly not as 'red hot shrapnel'.
If the transmission actually 'exploded' for some unknown reason and fractured the outer case into shards like a hand grenade, then yes that would be very alarming (and pretty much inexplicable). Or if this was a manual transmission race car launching at maximum RPM and the clutch/pressure plate exploded violently, then I could see the potential for real danger - that's why full-on race cars have clutch and transmission blankets and scatter shields. But a passenger car automatic transmission is not operating anywhere near those extremes.
A poorly fastened/broken/failed/seized u-joint just isn't in the same class of peril. U-joints fail in service regularly, just not normally on an almost brand new car.
Again, I hope that everything is resolved to the owner's satisfaction. It would be most interesting to hear what eventually comes of KIA's investigation - it could be other things beside improper assembly, including mechanical failure of the u-joint due to bearing seizure, bad machining, fractured castings, etc., as provided by the supplier to KIA.