Actually, some of that is not true.
1)The seller can report a deadbeat, no pay buyer.
2)Paypal is freezing the sellers money because the buyers are using PayPal backed by a credit card. Buyers using a bank account makes the money go rapidly to the seller.
3) This is correct, which is weird.
4)I've had sellers weasel out of a claim because didn't buy insurance that wasn't offered by the seller. Another time I had a package delivered that didn't require a sig...never got the package and even though the seller had insurance, he refused to use it. I lost the claim.
So ya see, it isn't always the windfall for the buyer that you suggest...especially if you're honest. I also remember an ebay were the sellers ran ramshackle over the buyers with bullying and intimidation. Complain about a item and you immediately got negative feedback as a buyer. They became known as the 'feedback wars', remember those? Buyers afraid to jeopardize their rating by complaining to the unscrupulous sellers. Obviously the system was broken and ebay restructured and overacted in the other direction with the system in place today. The bad sellers only have themselves to blame. Honest sellers and honest buyers are the default whipping boys on ebay today, while the scum do business as usual, albeit on a smaller scale than previously.
Kevin