What
Claude Code keeps a list of folders inside your home folder that it treats as dangerous. That list now also includes:
Application DataLocal SettingsCookiesNetHoodPrintHoodRecentSendToMy Documents/PowerShellOneDrive*/Documents/PowerShellandOneDrive*/Documents/WindowsPowerShell
OneDrive* matches any folder whose name starts with OneDrive, such as "OneDrive - Org".
Matching also works under WSL (Windows Subsystem for Linux, which runs Linux on a Windows machine), where Windows drives appear as /mnt/<drive> paths. On Windows, folders that contain these folders are now caught too.
Why
These folders hold Windows system data and PowerShell startup files. Covering them, including work OneDrive folders and the same folders seen from WSL, makes it harder for them to be touched without extra scrutiny.