Sounds like the Police have told you a load of crap mate.
I'm a copper and from what you've said he's committed criminal damage. If you've complained he should be arrested and interviewed. If hes charged then the you may be awarded compensation.
In any event if I were you I would take him to the small claims court. After matey has been arrested, write to the Police data protection officer and request the details of the other person. Hopefully they will give them to you so you can proceed in the civil court. I dont see why you should have to claim on your insurance.
The 3 options the copper has told you are crap. Seems like he's trying to cuff the job because he's not interested.

Cheers

Steve