The important thing is that you begin eviction asap, because they are milking it and taking advantage of your inexperience.

If you have an insurance policy on the house it will probably not cover tenants for their own injuries UNLESS it was due to some kind of negligence on your part.

Your insurance company has lawyers to protect you (and themselves) from "gold diggers". Talk to your insurance company. They will probably squash it, but the main thing is THEY will deal with it- not you.

Also get a lawyer on the eviction immediately. These people have already stolen enough money from you and will continue unless you put a stop to it!