If it is a crack around the wheels, isn't it considered "protruding" and thus not claimable?
I've had somewhat inconsistent experience, though. Back in 2009, I found the retractable handle of my luggage bent so it couldn't be pushed in. They repaired it with no question, but that was SQ.
Just last year, after flying UA, I found the side handle torn off, only to be told by the baggage claim agent that it's not claimable.