kodi player issue with hevc

I have recently had trouble getting hevc encoded files to playback on the kodi player.
Kodi 15.2 basically distorted or crashed when I tried to play some 1080p hevc encoded files.
MPC-HC had no trouble playing these files, so it doesn't appear to hardware related.

I upgraded graphics drivers and also installed kodi 16rc3.
MPC-HC still perfectly fine at this point
Kodi then started playing the files more or less perfectly.
However, now the Kodi player displays a diagonal block / staircase on the video.
Screenshot ( Look top right )
the above effect happens on ALL 1080p hevc encoded files that I playback through Kodi.
The problem seen in the screenshot also occurs bottom left as well at times. sometimes it will show in both locations and it can be very distracting!

For reference, the device I'm playing the content on is a: NUC6i3SYK
Win10, 8GB ram, 120GB m.2 ssd, intel hd 520 graphics, i3-6100u.

I've tried setting up MPC-HC as an external player, but then you lose the on-screen menu controls.
Can anyone recommend possible solutions?
Thanks for reading,

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