Certainly what happened is unfortunate but as they said, it is something that rarely happens.

Given the choice, I would take TITO any day of the week when compared with coin jams, jackpot pays and fills which take forever.

I have used TITO tickets in amounts of over $1000 and have never feared them getting lost or jammed.
If you have a casino host, I would suggest you yell at them.
Letters are nice but rarely get to where they would do any good. What works best is a tantrum until you become enough of a pain in the butt for them to do something about it.