Shutl service lost item

Hi used the shutl service through Ebay and they lost the parcel, PayPal stepped in on request from buyer so I gave them the tracking number, also informed Ebay shutl service of lost item they issued a claims code, after 2 weeks since claim code issued buyer claimed money back from PayPal, they found in favour of buyer and they got a refund
Why I don't mind them receiving a refund the cost of postage and item which I assume was insured through shutl is none existent, customer service has also been difficult to navigate they just hope you go away and bill you at the end of the month
Is this there normal way of treating sellers?

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