Buyer claims item never delivered - Am I on the hook?

[colorgemstuds]

Buyer purchases item June 1, 2021 and I ship USPS w/ eBay label on the next day. 

USPS tracking #9405508205496787634886

USPS provides 15 tracking details, final one is:  Jun 5, 2021: AWAITING DELIVERY SCAN

July 14 (6 weeks later) Buyer requests full refund w/ message: "I haven’t received my item"

- Do I refund buyer and take a complete loss? (File a claim w/ USPS that goes nowhere, forever.)  

- Does ebay insurance cover any/all of this?

- What should I do?

Any and all help and advice is greatly appreciated. 

[wooden_flower · Accepted solution]

Yes, you must refund, because the item was never scanned as delivered. The buyer should have filed the not received claim within 30 days of the estimated delivery, but - if you decline the refund now, they can file again through paypal or their credit card, depending on how they paid.  So better just to get it done.

If you used priority mail, there is $50 of insurance included.  Or if you added insurance, you would be covered for the amount you added.  If priority or insured through usps, you can file a claim at usps.com. Otherwise, the loss is yours.