[BUG] Error: Extra usage is required for 1M context · run /extra-usage to enable, or /model to switch to standard context

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

It forces me to start a new session; it won't let me continue it, merge it, or do anything else.

What Should Happen?

/compact should work

Error Messages/Logs

Error: Extra usage is required for 1M context · run /extra-usage to enable, or /model to switch to standard context

Steps to Reproduce

Have a long enough conversation with Claude Code

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.1.116

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

_No response_