digital ghost, i'm confused, how does it mean the seller doesn't have to provide refunds?

I'm talking specifically about instances where the seller can prove postage, but uses an uninsured postage option. For example, Click & Send regular parcel is not an insured service, but gives proof of postage. Considering that's all a seller needs to protect themselves, what is the point of SOD or insurance from the seller's perspective?

It's the buyer who loses out if a discretionary (that is, voluntary) refund isn't paid by someone. The PayPal buyer protection policy now states under the eligibility requirements that a buyer is not eligible for protection if the seller provides proof of postage, so if AP don't compensate, and neither the seller nor PayPal refund the buyer, there is nothing the buyer can do to make any one of those parties pay up when an insured service hasn't been used. This might not make much of a difference to a buyer who is purchasing a low-value item and is choosing between a standard letter or registered letter delivery, but it could make a big difference if they're purchasing a higher value item and they're choosing between a standard or SOD parcel service.

Of course, there are many sellers who will refund their buyers regardless of the postage service used, but there are others who will not. 

ebay/paypal proceses and requirements aside, the original question is

does Australia Post compensate for lost unregistered parcels?

If I get to my local PO this morning I will ask them the question. I will also ask if I can have a look at their Registered Post prepaid envelopes. I am tired of the conflicting information so if it came to it I personally would refer back to whatever is in hard copy print eg info on the envelopes and info on the postal guides.

ebay/paypal proceses and requirements aside, the original question is   does Australia Post compensate for lost unregistered parcels? If I get to my local PO this morning I will ask them the question. I will also ask if I can have a look at their Registered Post prepaid envelopes. I am tired of the conflicting information so if it came to it I personally would refer back to whatever is in hard copy print eg info on the envelopes and info on the postal guides.

http://auspost.com.au/media/documents/AP_TCs.pdf

Ap have changed the format of the terms and conditions to a pdf format

page 55

clause 73.1, .2 and .3 expains APs compensation scheme.

the word discretionary (IMO) is generally misunderstood

ie if your item meets the parameters in the clauses and AP also concurs then the claim is not discretionary it is automatic.

Claims may not be paid if  AP proves that  the item was delivered or that with a damaged item claim that it was improperly packed then they MAY not pay any compensation or be liable for it

Thanks Colic!

ok i see what you mean now digital ghost, looks like things have changed quite a bit since i last had to deal with registered post etc. From memory there was only registered post which included sod, and tracking was seperate? But now sod is just proof of postage, but doesn't cover the buyer for loss, only the seller? but it seems like sod is useless if its a tracked satchel, or are all parcels now tracked? sorry still confused.

As a buyer i hadn't even thought about whether tracking/sod meant i was covered for lost items, & as a seller i dont want my buyers to lose out either. So for example it could be a satchel with tracking, they could knock on the door & leave it with someone who is a dishonest housemate of the buyer who then keeps item for themselves. Because there was no sod, the seller has proof of postage, but the buyer has no claim. Then even if its sent with sod the housemate could sign themselves, how does the postie know whos signing?