"'InstancedComponent' has been destroyed..." error is thrown when re-entering Play mode after saving a Prefab in Play Mode while Domain Reload & Scene reload are disabled

How to reproduce:

1. Open the user’s attached project “BugTest.zip”
2. Make sure Reload Domain and Reload Scene are disabled in Project Settings… > Editor
3. Enter Play mode
4. While in Play mode edit the "InstanceTest" Prefab and save the changes
5. Exit and re-enter Play mode
6. Observe the Console window

Expected results: No error occurs
Actual results: Prefab asset does not appear and an “'Instancnent' has been destroyed but you are still trying to access” error is thrown

Reproducible with: 2020.3.23f1, 2020.3.36f1
Not reproducible with: 2019.4.40f1, 2020.3.22f1, 2021.3.5f1, 2022.1.5f1, 2022.2.0a17

Reproducible on: macOS (Intel) Monterey 12.3.1

Full error:
MissingReferenceException: The object of type 'InstancedComponent' has been destroyed but you are still trying to access it.
Your script should either check if it is null or you should not destroy the object.
UnityEngine.Object.Instantiate[T] (T original) (at /Users/bokken/buildslave/unity/build/Runtime/Export/Scripting/UnityEngineObject.bindings.cs:271)
Instancer.Start () (at Assets/Instancer.cs:10)