Buyer scammed UPS into approving claim. Do I still get seller protection?


My buyer messaged me on delivery day, and said he did not receive his package. Tracking shows it was signed for at his address by his building manager, and the buyer told me she remembers getting it. I don't know what he said, but he managed to file and get a UPS claim approved. Simultaneously, he opened a Paypal claim on me so I would refund him right away with the promise of being paid back by UPS. I said if I got money back from UPS, I'd gladly refund him. 


The package was not insured, but was worth significantly more ($2,600). UPS sent a confirmation today that the package was delivered with signature to the address on the transaction, but does have the approved claim. I'm just waiting for a payout for them, which I'd imagine will just be for the minimum ($100), since it was not insured. 


Am I still covered by paypal seller protection? Can I get UPS to un-approve the claim if not? 

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