I learned that baggage losses are balanced against the cost of paying for more reliable and trustworthy baggage handlers, and customer service is subject to a similar balancing act.
I also started travelling lighter, and keeping an extra day's clothing in my carry-on bag. It's much more difficult to be prepared for baggage loss with a kid, but it was worth it. Try running out of diapers because planes are delayed. When was the last time you saw diapers for sale in an airport?