diff --git a/quickstep/src/com/android/launcher3/taskbar/TaskbarInsetsController.kt b/quickstep/src/com/android/launcher3/taskbar/TaskbarInsetsController.kt
index 7adee266c5..77d5a26db5 100644
--- a/quickstep/src/com/android/launcher3/taskbar/TaskbarInsetsController.kt
+++ b/quickstep/src/com/android/launcher3/taskbar/TaskbarInsetsController.kt
@@ -33,11 +33,13 @@ import android.view.WindowInsets.Type.tappableElement
 import android.view.WindowManager
 import android.view.WindowManager.LayoutParams.TYPE_INPUT_METHOD
 import android.view.WindowManager.LayoutParams.TYPE_VOICE_INTERACTION
+import androidx.core.graphics.toRegion
 import com.android.internal.policy.GestureNavigationSettingsObserver
 import com.android.launcher3.DeviceProfile
 import com.android.launcher3.R
 import com.android.launcher3.anim.AlphaUpdateListener
 import com.android.launcher3.taskbar.TaskbarControllers.LoggableTaskbarController
+import com.android.launcher3.util.DisplayController
 import java.io.PrintWriter
 
 /** Handles the insets that Taskbar provides to underlying apps and the IME. */
@@ -245,7 +247,16 @@ class TaskbarInsetsController(val context: TaskbarActivityContext) : LoggableTas
                 bubbleBarVisible
         ) {
             // Taskbar has some touchable elements, take over the full taskbar area
-            insetsInfo.touchableRegion.set(touchableRegion)
+            if (
+                controllers.uiController.isInOverview &&
+                    DisplayController.isTransientTaskbar(context)
+            ) {
+                insetsInfo.touchableRegion.set(
+                    controllers.taskbarActivityContext.dragLayer.lastDrawnTransientRect.toRegion()
+                )
+            } else {
+                insetsInfo.touchableRegion.set(touchableRegion)
+            }
             insetsInfo.setTouchableInsets(TOUCHABLE_INSETS_REGION)
             insetsIsTouchableRegion = false
         } else {
diff --git a/quickstep/src/com/android/launcher3/taskbar/TaskbarLauncherStateController.java b/quickstep/src/com/android/launcher3/taskbar/TaskbarLauncherStateController.java
index 2b9d968d82..6ece903695 100644
--- a/quickstep/src/com/android/launcher3/taskbar/TaskbarLauncherStateController.java
+++ b/quickstep/src/com/android/launcher3/taskbar/TaskbarLauncherStateController.java
@@ -432,6 +432,10 @@ public class TaskbarLauncherStateController {
                 // We're changing state to home, should close open popups e.g. Taskbar AllApps
                 handleOpenFloatingViews = true;
             }
+            if (mLauncherState == LauncherState.OVERVIEW) {
+                // Calling to update the insets in TaskbarInsetController#updateInsetsTouchability
+                mControllers.taskbarActivityContext.notifyUpdateLayoutParams();
+            }
         }
 
         if (hasAnyFlag(changedFlags, FLAGS_LAUNCHER_ACTIVE)) {