Missing shipment


I recently made a purchase for $860 for a used item from a private seller. The seller shipped USPS Priority Mail. USPS tracking says that it was delivered. It was not by my door that day or for the next 3 days. This is the very first time in my many years of buying/selling that a package has gone missing. I live in a safe neighborhood. The seller did not insure it. We did not discuss insurance. I assumed that he would do so since $860 is a significant sum. He has 100% positive feedback – as do I. I’ll be filing a ’missing mail’ report with the USPS in the hopes that it will be located. But, since it wasn’t insured, will I be stuck with this loss?
steakster
also,the mail carrier hadnt even scanned as delivered so it showed as 'out for delivery'..
My 15 year-old neighborhood has still not been assigned a "regular" mail carrier by our local Postmaster. I never know what will happen on any given day. When they are good, they are really good. When they are bad, their lack of process discipline (axememan's example for instance), customer service (never answer the phone at the local PO), and lack of accountability can darn well make resolution near impossible. Best to expect the worst and be pleasantly surprised when they don't screw it up.

Dave
Since the payment was processed via Paypal, I called their customer service to learn how they handle issues like this. The agent said that for any Paypal transaction over $500, the item must be shipped with Signature Required. Otherwise, the seller automatically assumes full responsibility for any losses. The agent was very clear on this. I’m still hoping that the package will show up.
Okay, you've established that you have a winning case. If the fellow you're dealing with is a stand up guy you won't need any of that. He'll just refund. If however, it's not that easy, watch your time limits. If your Paypal purchase was funded by a credit card you have a year to file. If however your Paypal purchase was funded by your Paypal balance, your time frame to file is much shorter. Stay in contact with Paypal and don't exceed your time limit because you could turn a winning case into a loss by taking too long. It's best to deal with the seller directly and give him a reasonable chance to do the right thing. Be careful though if any delay should compromise your time to file for recompense.
Update: The package is still MIA. I no longer trust that a tracking # will be sufficient security for shipping a package - whether it be Fedex, UPS or USPS. From now on, as either a buyer or seller, I will gladly pay the additional $3 for Signature Confirmation for any package of any value over $20 - even if I need to go to the Post Office later in the week to pick it up. It’s cheap insurance for avoiding major headaches. As @jmcgrogan2 stated, the shipper has no skin in the game. If the package is mis-delivered, lost, or stolen; it’s money out-of-pocket for either the buyer or seller. Also, I will only use Paypal.

@jnovak is correct. Paypal has all sorts of rules in place. Those rules are meant to protect everybody - the buyer, the seller and Paypal. Curiously, when I spoke with the agent, she repeated several times that $500 was Paypal’s threshold for requiring a Signature Confirmation. She was incorrect. In fact, Paypal states on its website that it is $750. Thx again @kqvkq9.

Anyway, I’m still hoping that the package will miraculously show up.