Those are two separate issues. You didn't provide any details about the touchscreen, so I can't comment. Re the SIM, it sounds like the card has been decommissioned (i.e., it is invalid). If this is a SIM from one of your old devices, it won't work once you activate the new one.
If you are still having problems with the screen, you'll eed to post back with details, such as:
* phone make/model
* non-responsive everywhere or only in certain places on-screen, or only in certain apps, etc.
* does it work with your finger but not stylus, etc.
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