Anyone ever had to pay back your insurance claims to insurance company?

I bought travel insurance. Sadly, the travel company liquidated. Insurance company say they won't pay out unless I sign and agree to pay them back after travel company liquidates and return me the money (if any). If not I have to wait until liquidation is complete, which is don't know when, before they will pay out my claim. Anyone ever had to return their claim back to insurance company? Is it mandatory to sign another thing with them to get my claim?

I went to google the clauses and managed to located the T&Cs. Based on my understanding of this, I feel its fair for the insurance company to request for you to sign and agree in paying them back the money should the travel agency provide full reimbursement thereafter.

If I'm not mistaken the process is as follows:

After signing, insurance company will reimburse your expenses. Then comes 3 scenarios:

Scenario 1

Liquidated travel agency reimburses you full, you will then return the reimbursements obtained from the insurance company back to them

Scenario 2

Liquidated travel agency is unable to provide any reimbursements. You are then entitled to keep the reimbursements from the insurance company

Scenario 3

Liquidated travel agency can only reimburse partial. For this scenario, its best you check with the insurance company how would the process be. Would you have to return the amount in which the travel agency reimbursed you?

But essentially, you are granted your full sum of expenses should scenario 1 or 2 arises. If you refuse to sign now, you will have to wait for the travel agency to meet with Scenario 2 (which could likely take months as you accurate stated) after which the insurance company would then reimburse you full.