Apple watch 7 doesn't notify when left behind

New iPhone 16 Pro+Apple watch 7.

Watch was left behind (not a familiar location). Did not get an allert on the phone that watch was left behind.

Went through all the suggestions on how to fix it. Still nothing.

As you can see, It is set to off and grayed out.

It does show up in my Find my app.

Both phone and watch up to the latest version. Ios 18.2 (22c152) and watchos 11.2 (22????)

Help please