Hass.io Node-RED Connection to home assistant could not be established

Hi community,
newbie question. I just enable the Node-Red addon and in the logs i’m getting the below error.

“Home assistant connection failed with error: Connection to home assistant could not be established with config: https://192.168.1.40:8123/ <password redacted>”

On the Node-red side, these seems to be a API password automatically generated. Any ideas on what I may be doing wrong?

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Https requires a valid cert. Try either http or use the hostname in your cert.

I’ve tried both suggestions before but still come up with the same password error