If the mic is bad, enlarging the hole won't help much or at all. If you have an old cam laying around you can try swapping the mic. There are basically 4 types of electret mics in common use, and 2 types cover about 70% of the devices so chances are good a 'blind' swap will work. Sizes do vary as well, but as long as you can fit it and the type is correct it will work. Do be aware that the front face of these mics (the clear plastic bubble) must not touch anything or audio will drop badly. Ditto for damaging that bubble in any way. Other than that electret mics are extremely rugged as long as they don't get wet.
There was a short period of time where people were having mic problems with the B1W but I think it was resolved- I never heard any official response over that, but the problem reports stopped coming in so I guess it was fixed. No fun to have any cam malfunction, but I think getting 3.5 years from a budget-friendly cam like this isn't too bad. Were it an expensive high-priced cam I'd expect at least 5 years service. Given what these do and the conditions they are used in, I think they do OK overall. And by 5 years there will be better sensors, higher resolution, and higher bitrates making a new cam worth thinking about. The B1W is still OK for a budget cam, but better can be had now for not too much more cost.
Phil