Safari Extension and Touch ID no longer play together

I'm having the exact same issue. Initially it just seemed to be an annoyance. But, now it is asking for me to click almost every time I try to use it. My 1Password says it's up to date for my 2022 MacBook Pro—version 8.9.15.

I have run through what you suggested above (quitting Safari and 1Password and relaunching). I'm getting the exact same behavior—no Touch ID, just asks me to click the 1Password icon.

Any other suggestions of what the issue may be, or how to resolve?

Thanks!