So that means if a ball joint failed, and you lost control of the car and it crashed, they are free and clear? I don't think so. Double check on this. I know someone whose VW caught fire. They had comprehensive insurance, and it was covered. Find out if they covered any of the Ford pickups that caught fire in the last few years. If so, you have a precedent on your side.
Contact the state insurance comissioners office, and now might be a good time to lawyer up. It looks like your insurance company is trying to *bleep* you like they're never going to see you again.