The short circuit, no burn, no explosion test is for a NEW CELL and is a common requirement placed on many manufacturers that sell cells to U.S. and UK manufacturers (except e-cig manufacturers of course).
The PTC, or current limiting device inside the positive cap will limit current when the cell gets hot.
That's temperature inside the cell, not the outside. The cell will conduct through the short at a high enough current to raise the cell temperature, then slow current to keep the cell from going up in temperature.
One of the problems with a PTC is they don't have the service life of a light switch. After a few actuations, they may or may not work.
Think of the math. How much current is flowing through the shorted wire for a hour?
If it is an average of 2 amps, for an hour, that is 2 amp hours (2000mah), 3 amps for an hour (3000mah), 6 amps for an hour (I don't think so

).
I don't think I would depend on an unprotected cell not to explode/vent with a short.
Even so, an 'almost short' of several amps could heat the cell up just as much, or more.
How would you know if the reason your mod keeps cutting out isn't the PTC, and you have finally worn it out.