In regard to insurance, unless your insurance excludes it, you are
covered. So read your policy, paying close attention to the exclusions.
I can't imagine that a policy would exclude coverage for something like
that. All mine requires is the airplane be in annual at the anniversary
date of the policy and that I have a current medical. If, for example,
my annual expires or my medical expires, I am still covered so long as
I had them when the policy was initiated (the anniversary date).

You hear a lot of rumors about "insurance wont cover that". Most of
them quoted by people who never owned a plane and never read an
insurance policy.

Read your insurance. Does it say you have to comply with the minimum
equipment list to be covered? I would bet it doesn't.

Think about it. If your car had an expired inspection and you ran a
stop sign causing damage, do you think your car insurance would NOT
cover you?