Workaround when Tab stops working: Cmd + Shift + P → Developer: Reload Window
Not ideal, but better than restarting Cursor.
What else might help:
If you have an Agent chat open with uncommitted changes and it’s asking “Keep”, try closing it or accepting those changes first. One user noticed the bug happens more often in that case.
The team is aware and the bug is logged. Let me know if reloading the window doesn’t help, or if you notice a pattern for when it happens.