[BUG] Claude 4.5 Throws API Error: Claude Code is unable to respond to this request for normal requests randomly

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?

API Error: Claude Code is unable to respond to this request, which appears to violate 
    our Usage Policy (https://www.anthropic.com/legal/aup). Please double press esc to 
    edit your last message or start a new session for Claude Code to assist with a 
    different task. If you are seeing this refusal repeatedly, try running /model 
    claude-sonnet-4-20250514 to switch models.

In the middle of a working session with claude 4.5 and totally normal requests will get blocked. Or this error will be thrown by claude in the middle of a longer running task. Once it happens it keeps happening over and over.

What Should Happen?

It should just not throw the error and process the request

Error Messages/Logs

API Error: Claude Code is unable to respond to this request, which appears to violate 
    our Usage Policy (https://www.anthropic.com/legal/aup). Please double press esc to 
    edit your last message or start a new session for Claude Code to assist with a 
    different task. If you are seeing this refusal repeatedly, try running /model 
    claude-sonnet-4-20250514 to switch models.


Over and over and over again

Steps to Reproduce

just use 4.5 sonnet on claude code

Claude Model

Sonnet (default)

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.0.5

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

VS Code integrated terminal

Additional Information

_No response_