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Not providing Car Insurance

Location/place: Navi Mumbai

Name of company/service: L & T Car Insurance

I have applied L & T car insurance for my car maruti zen vxi through there partner policy boss on 11-06-12. I made a payment of Rs. 4507 on 11-06-12. Inspection has been done on 16- 06-12. After that i followed up for various times for the policy but no response came. now 2 weeks back they told me that, re-inspection has to be done for policy procedure. but meanwhile my car was dashed by some other car. now they are refunding my money without giving me policy. Please tell me that whose fault is this?. The car was got dashed 15-20 days after inspection.

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