i'm not talking about for shorts before the main. if there is a fault downstream from the main even with ocpd on the branch circuit, the conductors could be damaged. which isn't as big a deal with branch circuits, they have short circuit and ground fault protection. it is a bigger deal for the service wire because they do not. if the branch circuit wire is damaged in a fault the ocpd should not re-close or when the damage actually becomes a problem it should open again. if service conductors are damaged during the fault even if downstream of branch ocpd, when original fault is corrected and ocpd closed the service conductors could have been damaged and without short circuit and ground fault protection your up a creek without a paddle. its more critical for service conductors to be free of damage and more protected from damage because they dont' have the extra protections that other conductors do, the larger wire does that to a degree for short circuits.
just my thoughts. i think 8's is a decent cutoff. not perfect, won't always save from problems. but i like it. it would be hard to put a code requirement saying they should be sized for short circuit current, resi doesn't require that information right now, poco's change xfmr's,...