This is part of the process. Don't worry, you'll be compensated.
Here's what happened so far: The accident happened, police report and charges were filed, State Farm heard about the accident from your insurance company. Following proper procedure, State Farm then called their customer (the idiot who hit you) to get his side of the story, and he denied everything. This isn't the first time this has happened, and here's what will happen next...
Your insurance company will send a copy of the accident report over to State Farm, and remind them that their guy was charged with a sloppy lane change. They won't remind State Farm that much of the info on the police report was provided by their customer, because they don't have to. State Farm isn't stupid. Farm will then contact their customer again, this time to ask him why he provided all his details to you and the police (which people don't do randomly) if no accident had truly happened. He'll probably break down and admit the truth at that point, or it may take a little longer. But if he thinks he can ignore the problem away, he's wrong.
This is how it works with insurance claims, and you have to wait it out. Insurance companies do everything by the book and to the letter, because they have to by law, and it's not a speedy process.