Sadly not receiving an animal is not the only claim that can be made and while Paypal does not cover animals purchases, if the person back their purchase with their credit cards they will be able to make a claim (not delivered or stolen if you do a home delivery, or DOA if you do a fedex pickup.)
Now having people sign for home deliveries can be problematic (those drivers do not get people enough time to people to answer the door and might be gone with the animal on the truck the whole day when it happens). Hub deliveries can be problematic too not everyone is within short distance of a hub and there are people with physical limitations not allowing them to go pickup their packages.
Now as a seller it is important to ship to a verified Paypal address or to the billing address unless shipping to a hub, I don’t recommend third parties (like a friend’s house etc) the other important thing and I thing this is where people don’t do enough is that if as a seller you are getting scammed go to your local police department, file charges which will be forward to the recipient PD. A lot of breeders do not do that, they take it as a loss and do not want to waste any more time or energy.
Those scammers have no fear and no incentive to stop if their are no consequences, for me if I run into this type of scam I will not hesitate to file charges and take them to court regardless of how small the amount is even if that cost me money and time, why? because it is a matter of principal.