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Need more testing but seems like i've fixed the problem.

Run gpedit.msc
Computer Configuration -> Administrative Templates -> System -> Troubleshooting and Diagnostics -> Windows Resource...

Sounds like some kind of misconfigured or overly aggressive power saving thing most likely. Have you done any tweaks to "background app" power usage or other power savings features on your PC?
I've...

After long moments of inactivity overlay stops working, almost as if it goes into some kind of sleep mode. If i alt tab to the program itself everything works except session timer which is frozen...