diff --git a/crates/agent_ui/src/agent_panel.rs b/crates/agent_ui/src/agent_panel.rs
index d6df01ba1e18f98e0091cf6169cf6c7b7ad3cde6..d71ac3c73e8f7e3c298f397e612119c3586f624e 100644
--- a/crates/agent_ui/src/agent_panel.rs
+++ b/crates/agent_ui/src/agent_panel.rs
@@ -1282,16 +1282,37 @@ impl AgentPanel {
         window: &mut Window,
         cx: &mut Context<Self>,
     ) -> Entity<ConversationView> {
-        if let Some(draft) = &self.draft_thread {
-            return draft.clone();
-        }
-        let agent = if self.project.read(cx).is_via_collab() {
+        let desired_agent = if self.project.read(cx).is_via_collab() {
             Agent::NativeAgent
         } else {
             self.selected_agent.clone()
         };
-        let thread =
-            self.create_agent_thread(agent, None, None, None, None, "agent_panel", window, cx);
+        if let Some(draft) = &self.draft_thread {
+            let agent_matches = *draft.read(cx).agent_key() == desired_agent;
+            let has_editor_content = draft.read(cx).active_thread().is_some_and(|tv| {
+                !tv.read(cx)
+                    .message_editor
+                    .read(cx)
+                    .text(cx)
+                    .trim()
+                    .is_empty()
+            });
+            if agent_matches || has_editor_content {
+                return draft.clone();
+            }
+            self.draft_thread = None;
+            self._draft_editor_observation = None;
+        }
+        let thread = self.create_agent_thread(
+            desired_agent,
+            None,
+            None,
+            None,
+            None,
+            "agent_panel",
+            window,
+            cx,
+        );
         self.draft_thread = Some(thread.conversation_view.clone());
         self.observe_draft_editor(&thread.conversation_view, cx);
         thread.conversation_view
@@ -7104,6 +7125,95 @@ mod tests {
         });
     }
 
+    #[gpui::test]
+    async fn test_draft_replaced_when_selected_agent_changes(cx: &mut TestAppContext) {
+        init_test(cx);
+        let fs = FakeFs::new(cx.executor());
+        cx.update(|cx| {
+            agent::ThreadStore::init_global(cx);
+            language_model::LanguageModelRegistry::test(cx);
+            <dyn fs::Fs>::set_global(fs.clone(), cx);
+        });
+
+        let project = Project::test(fs.clone(), [], cx).await;
+
+        let multi_workspace =
+            cx.add_window(|window, cx| MultiWorkspace::test_new(project.clone(), window, cx));
+
+        let workspace = multi_workspace
+            .read_with(cx, |multi_workspace, _cx| {
+                multi_workspace.workspace().clone()
+            })
+            .unwrap();
+
+        workspace.update(cx, |workspace, _cx| {
+            workspace.set_random_database_id();
+        });
+
+        let cx = &mut VisualTestContext::from_window(multi_workspace.into(), cx);
+
+        let panel = workspace.update_in(cx, |workspace, window, cx| {
+            let panel = cx.new(|cx| AgentPanel::new(workspace, None, window, cx));
+            workspace.add_panel(panel.clone(), window, cx);
+            panel
+        });
+
+        // Create a draft with the default NativeAgent.
+        panel.update_in(cx, |panel, window, cx| {
+            panel.activate_draft(true, window, cx);
+        });
+
+        let first_draft_id = panel.read_with(cx, |panel, cx| {
+            assert!(panel.draft_thread.is_some());
+            assert_eq!(panel.selected_agent, Agent::NativeAgent);
+            let draft = panel.draft_thread.as_ref().unwrap();
+            assert_eq!(*draft.read(cx).agent_key(), Agent::NativeAgent);
+            draft.entity_id()
+        });
+
+        // Switch selected_agent to a custom agent, then activate_draft again.
+        // The stale NativeAgent draft should be replaced.
+        let custom_agent = Agent::Custom {
+            id: "my-custom-agent".into(),
+        };
+        panel.update_in(cx, |panel, window, cx| {
+            panel.selected_agent = custom_agent.clone();
+            panel.activate_draft(true, window, cx);
+        });
+
+        panel.read_with(cx, |panel, cx| {
+            let draft = panel.draft_thread.as_ref().expect("draft should exist");
+            assert_ne!(
+                draft.entity_id(),
+                first_draft_id,
+                "a new draft should have been created"
+            );
+            assert_eq!(
+                *draft.read(cx).agent_key(),
+                custom_agent,
+                "the new draft should use the custom agent"
+            );
+        });
+
+        // Calling activate_draft again with the same agent should return the
+        // cached draft (no replacement).
+        let second_draft_id = panel.read_with(cx, |panel, _cx| {
+            panel.draft_thread.as_ref().unwrap().entity_id()
+        });
+
+        panel.update_in(cx, |panel, window, cx| {
+            panel.activate_draft(true, window, cx);
+        });
+
+        panel.read_with(cx, |panel, _cx| {
+            assert_eq!(
+                panel.draft_thread.as_ref().unwrap().entity_id(),
+                second_draft_id,
+                "draft should be reused when the agent has not changed"
+            );
+        });
+    }
+
     #[gpui::test]
     async fn test_rollback_all_succeed_returns_ok(cx: &mut TestAppContext) {
         init_test(cx);