This mess as you call it isn’t an issue there is nothing you can do about password protected archives not being scanned. You don’t have the password, avast doesn’t have the password, only the program has the password, nothing you or avast can do about that.
I give up - because there really is insufficient information to continue:
As far as I’m aware there has never been away not to display files that are password protected (such as the adobe files which only recently started protecting them) and can’t be scanned.
I don’t see error logging in Report. Infected items is checked, Hard error’s, checked, Soft error’s, not checked, OK items, not checked, Skipped items, not checked.