I went out and looked at it again. You are right. The pin is held back when the handle is up by the shallower notch. When the handle is pushed down, the lug slides over to the deeper notch. So, I can see your point that the pin will not protude past the bolt face when the handle is up. So I retract what I said earlier about the rifle being dangerous in that respect.
I inherited this rifle from my grandfather many years ago, and he had it for many, many year before that. This is the first time the rifle has worked in all that time, so I'm still learning it.