Is a Seller obligated to pay for damaged goods if the Buyer only paid for USPS Priority Shipping

[alphajill]

July 3, 2020 I shipped a large package from Washington DC to the UK. Despite the Buyer not requesting or paying for insurance, I requested insurance and was refused by the USPS clerk. The explanation was that it was a decision from the UK not the US, and Covid19 related.
July 28, 2020 The package arrived and was damaged. The Buyer is now insisting that I have full liability for the value of the contents and wants a PP refund.
I don't feel that I'm liable at all, but how would PP respond if he/Buyer does a formal complaint again me/Seller?

Thank you for your efforts in responding. If you can quote any part of the PP Agreement for me to reference in our conversations I would certainly appreciate that. Also, if anyone is familiar with a USPS Notice or Memo addressing this issue, please link me, I can't find anything on it.

[sharpiemarker · Accepted solution]

@alphajill 

Sellers are typically responsible for damaged goods received via a Significantly Not as Described dispute by the buyer.

Tell buyer to return item for a refund. Even in the PayPal dispute, insist on a return for a refund and hope that is what will happen. Keep in mind that with the new PayPal policies since July 31, PayPal may not require the buyer to return for a refund though.

"For “Significantly Not as Described” claims under our Seller Protection Program, we are clarifying that the item may not be returned to sellers or sellers may be required to accept the returned item and pay for the return shipping costs."

Personally, I don't recommend selling internationally during the pandemic because shipping logistics and less frequent flights are a nightmare and because of situations like this. I wonder why the USPS clerk didn't like you insure the package...to avoid risk of high amount of claims during this madness? If you do want to ship overseas, consider insuring with third party insurance carriers...google it.