Recovery checks out as guest

We’ve been using this plugin for about a year but something popped up in June that I only just pinned down to cart abandonment. We don’t allow guest checkout but when existing users use the recover link it allows them to checkout as guest.
The first problem is that they don’t see free shipping that they would if logged in.
Second, it then erases their existing accounts.

The page I need help with: [log in to see the link]