Not able to install kernel packages with error "error: unpacking of archive failed on file /lib/modules: cpio: open failed - Not a directory"

Issue

• Below errors were noticed while installing packages:

Running transaction
  Preparing        :                                                                                                                                                1/1
  Installing       : kernel-core-4.18.0-372.96.1.el8_6.x86_64                                                                                                       1/2
error: failed to open dir lib of /lib/: Not a directory

Error unpacking rpm package kernel-core-4.18.0-372.96.1.el8_6.x86_64
  Installing       : kernel-modules-4.18.0-372.96.1.el8_6.x86_64                                                                                                    2/2
error: unpacking of archive failed on file /lib/modules: cpio: open failed - Not a directory
error: kernel-core-4.18.0-372.96.1.el8_6.x86_64: install failed
error: failed to open dir lib of /lib/modules/4.18.0-372.96.1.el8_6.x86_64/kernel/drivers/base/regmap/: Not a directory

Error unpacking rpm package kernel-modules-4.18.0-372.96.1.el8_6.x86_64
  Verifying        : kernel-core-4.18.0-372.96.1.el8_6.x86_64                                                                                                       1/2
  Verifying        : kernel-modules-4.18.0-372.96.1.el8_6.x86_64                                                                                                    2/2
Installed products updated.

Failed:
kernel-core-4.18.0-372.96.1.el8_6.x86_64                                          
kernel-modules-4.18.0-372.96.1.el8_6.x86_64

Error: Transaction failed