May I use her action to recover sanity/healt/ Example: i have 3 sanity and health: use her action from 3/3 to 1/5 may i use flash ward/inctill bravey? In rules says: She

Sanity to recover Sanity, but nothing says about spending health to recover and prevent sanity damage.
I and wife liltte holy war abouth this thing

It's always a good idea to post the text of the card you're referring to - to spare the people you're asking for help, the effort of googling for exact wording (crucial in most rule questions) or sifting through the gamebox.

Flesh Ward says "when an investigator would lose health". But Lily's ability doesn't make you lose it, you're spending it.

Good question, though.

Only recently I discovered, how important it is to make the distinction between "losing/discard" something, and "spending" it. Sometimes weird situations come up, and with this kind of knowledge, you're ready to deal with them.