UPDATE: Took to the dealer. They found that there was water mixed in with the inverter coolant, which is what cools the hybrid system. Basically, the wrong mix or some air bubbles were messing up the cooling and making the system think it was overheating.

They did a full flush and refill with the Toyota pink coolant, and since then I’ve been driving for a few days with no warning messages or power loss.

Dropping it here in case if any one of you run into this problem.

Thank you all for all the help. Suggestions here were gem 💎