My Colombian riding partner and I were being harassed as well.
We tried to purchase SOAT but as you discovered, only 1yr policy's were available.
My partner showed them his 3rd party international insurance but they were not interested in it.
After paying $8 each for the return of our passports (they took them) we reported the incident to the national police. We were also told that SOAT was not needed for tourists.
If you have insurance they should not bother you, if you don't, you might be open game.
Anyway, I uploaded the document (2 files) that was drawn up when we visited the national police. It may be of interest.? Index of /police_peru
Here's the cop holding my passport
http://thecaferacer.com/adv/cop.jpg
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