Broken Phone Insurance

So I broke my iPhone 5s and it was completely my fault and I don't have insurance and my warranty is void. I understand I can't get a replacement so I bought and iPhone 4 to use until I'm eligible for an upgrade which is about 3 months away. I have a few questions. Is this allowed? Am I still going to be eligible for an upgrade? Can I just put my SIM card into this new iPhone or do I have to go to an AT&T retailer?


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