Insert mode commands not working 

Expected

Ctrl - w: deletes word in insert mode
Ctrl - u: deletes line in insert mode

Actual

Ctrl - w: shows window
Ctrl - u: something else

Temporary work around was to change the default keybindings of vscode to corresponding actions like
delete word left : ctrl- w
delete all left: ctrl-u

Hope this will be made as default in future releases