Hi,
As already written: (true for every Mosfet)
* when MOSFET is OFF, then current flow is only in one direction through diode
* when MOSFET is ON, then current flow in both directions, with low R_DS_ON, means not via diode.
The same applies for M2.
So when GATE output of the shown IC is LOW, then both MOSFETs are ON.
And again: this means no current flow through body diode.
Only at the very beginning
* you may have the load side of M2 to be 0V...
* thus, when GATE is 0V then M1 becomes ON, M2 still OFF (V_DS too low due to zero Drain voltage)
--> current flow through Diode of M2
--> automatically M2 Drain voltage rises, thus V_DS rises
--> M2 immediately goes ON, too
--> no diode current flow anymore
Klaus
Added: I recommend you to use a simulation software ... it tells you what happens