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The "Edit Defaults and Settings" interface is where you specify email server settings that are used application-wide, and then the default notification settings for any FUTURE definition files that you create. Changing settings in the email settings sections that begin with "Default" does not retroactively change notification settings for existing definition files. If you want to do that (properly, i.e. without editing XML files directl), then right-click your existing definition file, click Edit, click Advanced Options, then click Email. This design is not new for V8, in fact the delineation of application settings vs. defaults was made clearer for V8 with the tweaking of the section names under Edit Defaults and Settings > Email.
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