I’ve had a similar problem. I get notifications of things that are sitting in the back seat of the car I’m in. I don’t have any exceptions because I want to know when I really leave things behind, no matter where it has been left. I’m running iOS 15.6.
Just found out that I have to update (enter ) my Apple ID password , again. This must be the 6th time in 2 months that I have to do this for no obvious reason or is it the new Apple security measures that it requires repeated Apple ID password into the iPhone Setttings?
Yes, that is an Apple behavior, like you have to use your password to unlock your iPhone time by time.
This ensures that you are still in control of your equipment, and was introduced a couple of years ago.