diff --git a/vscode/src/autoedits/autoedits-provider.ts b/vscode/src/autoedits/autoedits-provider.ts
index 6fd244a2092..d137c3bbc9a 100644
--- a/vscode/src/autoedits/autoedits-provider.ts
+++ b/vscode/src/autoedits/autoedits-provider.ts
@@ -178,9 +178,11 @@ export class AutoeditsProvider implements vscode.InlineCompletionItemProvider, v
             currentFileText.slice(0, document.offsetAt(range.start)) +
             prediction +
             currentFileText.slice(document.offsetAt(range.end))
-
         if (this.shouldFilterAutoeditResponse(currentFileText, predictedFileText, codeToReplaceData)) {
-            autoeditsLogger.logDebug('Autoedits', 'Model prediction already of suffix')
+            autoeditsLogger.logDebug(
+                'Autoedits',
+                'Skipping autoedit - predicted text already exists in suffix'
+            )
             return
         }
         await this.rendererManager.displayProposedEdit({
@@ -211,7 +213,9 @@ export class AutoeditsProvider implements vscode.InlineCompletionItemProvider, v
         const maxAddedLineIndex = addedLines[addedLines.length - 1]
         const allAddedLines = predictedFileLines.slice(minAddedLineIndex, maxAddedLineIndex + 1)
         const allAddedLinesText = allAddedLines.join('\n')
-        if (codeToReplaceData.areaSuffix.includes(allAddedLinesText)) {
+
+        const immediateSuffix = codeToReplaceData.suffixInArea + codeToReplaceData.suffixAfterArea
+        if (immediateSuffix.startsWith(allAddedLinesText)) {
             return true
         }
         return false
diff --git a/vscode/src/autoedits/prompt-utils.ts b/vscode/src/autoedits/prompt-utils.ts
index 576f0bacbd4..194da4e6634 100644
--- a/vscode/src/autoedits/prompt-utils.ts
+++ b/vscode/src/autoedits/prompt-utils.ts
@@ -51,8 +51,10 @@ export interface CurrentFilePromptOptions {
 
 export interface CodeToReplaceData {
     codeToRewrite: string
-    areaPrefix: string
-    areaSuffix: string
+    prefixBeforeArea: string
+    suffixAfterArea: string
+    prefixInArea: string
+    suffixInArea: string
     codeToRewritePrefix: string
     codeToRewriteSuffix: string
     startLine: number
@@ -170,8 +172,10 @@ export function getCurrentFilePromptComponents(
         endLine: currentFileContext.codeToRewriteEndLine,
         codeToRewritePrefix: currentFileContext.codeToRewritePrefix.toString(),
         codeToRewriteSuffix: currentFileContext.codeToRewriteSuffix.toString(),
-        areaPrefix: currentFileContext.prefixInArea.toString(),
-        areaSuffix: currentFileContext.suffixInArea.toString(),
+        prefixBeforeArea: currentFileContext.prefixBeforeArea.toString(),
+        suffixAfterArea: currentFileContext.suffixAfterArea.toString(),
+        prefixInArea: currentFileContext.prefixInArea.toString(),
+        suffixInArea: currentFileContext.suffixInArea.toString(),
     }
 
     const fileWithMarker = ps`${currentFileContext.prefixBeforeArea}
diff --git a/vscode/src/autoedits/renderer.ts b/vscode/src/autoedits/renderer.ts
index b10c6d47075..388077f0fb2 100644
--- a/vscode/src/autoedits/renderer.ts
+++ b/vscode/src/autoedits/renderer.ts
@@ -67,7 +67,10 @@ export class AutoEditsRendererManager implements vscode.Disposable {
             vscode.commands.registerCommand('cody.supersuggest.dismiss', () =>
                 this.dismissProposedChange()
             ),
-            vscode.workspace.onDidChangeTextDocument(event => this.onDidChangeTextDocument(event))
+            vscode.workspace.onDidChangeTextDocument(event => this.onDidChangeTextDocument(event)),
+            vscode.window.onDidChangeTextEditorSelection(event =>
+                this.onDidChangeTextEditorSelection(event)
+            )
         )
     }
 
@@ -77,7 +80,6 @@ export class AutoEditsRendererManager implements vscode.Disposable {
         if (!editor || options.document !== editor.document) {
             return
         }
-
         this.activeProposedChange = {
             uri: options.document.uri.toString(),
             range: options.range,
@@ -128,9 +130,37 @@ export class AutoEditsRendererManager implements vscode.Disposable {
         // Only dismiss if we have an active suggestion and the changed document matches
         // else, we will falsely discard the suggestion on unrelated changes such as changes in output panel.
         if (
-            this.activeProposedChange &&
-            event.document.uri.toString() === this.activeProposedChange.uri
+            !this.activeProposedChange ||
+            event.document.uri.toString() !== this.activeProposedChange.uri
+        ) {
+            return
+        }
+        await this.dismissProposedChange()
+    }
+
+    private async onDidChangeTextEditorSelection(
+        event: vscode.TextEditorSelectionChangeEvent
+    ): Promise<void> {
+        if (
+            !this.activeProposedChange ||
+            event.textEditor.document.uri.toString() !== this.activeProposedChange.uri
         ) {
+            return
+        }
+        const currentSelectionRange = event.selections[0]
+        const proposedChangeRange = this.activeProposedChange.range
+
+        // If the user places the cursor beyond the buffer around the proposed selection range, dismiss the suggestion
+        const BUFFER_LINES = 4
+        const document = event.textEditor.document
+        const startLine = Math.max(proposedChangeRange.start.line - BUFFER_LINES, 0)
+        const endLine = Math.min(proposedChangeRange.end.line + BUFFER_LINES, document.lineCount - 1)
+        const expandedRange = new vscode.Range(
+            document.lineAt(startLine).range.start,
+            document.lineAt(endLine).range.end
+        )
+        if (!currentSelectionRange.intersection(expandedRange)) {
+            // No overlap with expanded range, dismiss the proposed change
             await this.dismissProposedChange()
         }
     }