diff --git a/editor/components/block-list/block.js b/editor/components/block-list/block.js
index ec2cff73cd2a82..2f411c3c6d007d 100644
--- a/editor/components/block-list/block.js
+++ b/editor/components/block-list/block.js
@@ -490,6 +490,7 @@ export class BlockListBlock extends Component {
 						rootUID={ rootUID }
 						layout={ layout }
 						canShowInserter={ canShowInBetweenInserter }
+						onInsert={ this.hideHoverEffects }
 					/>
 				) }
 				<BlockDropZone
diff --git a/editor/components/block-list/insertion-point.js b/editor/components/block-list/insertion-point.js
index f205d6812dd68d..85ba121e61924e 100644
--- a/editor/components/block-list/insertion-point.js
+++ b/editor/components/block-list/insertion-point.js
@@ -45,6 +45,9 @@ class BlockInsertionPoint extends Component {
 		props.insertDefaultBlock( { layout }, rootUID, index );
 		props.startTyping();
 		this.onBlurInserter();
+		if ( props.onInsert ) {
+			this.props.onInsert();
+		}
 	}
 
 	render() {
diff --git a/editor/components/block-list/style.scss b/editor/components/block-list/style.scss
index 0b2c228fc836cb..3584c26626524f 100644
--- a/editor/components/block-list/style.scss
+++ b/editor/components/block-list/style.scss
@@ -682,11 +682,11 @@
 	height: $block-padding * 2; // Matches the whole empty space between two blocks
 	justify-content: center;
 
-	// Show a clickable plus
+	// Show a clickable plus.
 	.editor-block-list__insertion-point-button {
 		margin-top: -4px;
 		border-radius: 50%;
-		color: $dark-gray-100;
+		color: $blue-medium-focus;
 		background: $white;
 		height: $block-padding * 2 + 8px;
 		width: $block-padding * 2 + 8px;
@@ -694,29 +694,32 @@
 		&:not(:disabled):not([aria-disabled="true"]):hover {
 			box-shadow: none;
 		}
-
-	}
-
-	// Show a line indicator when hovering, but this is unclickable
-	&:before {
-		position: absolute;
-		top: calc( 50% - #{ $border-width } );
-		height: 2px;
-		left: 0;
-		right: 0;
-		background: $dark-gray-100;
-		content: '';
 	}
 
-	// Hide both the line and button until hovered
+	// Hide both the button until hovered.
 	opacity: 0;
 	transition: opacity 0.1s linear 0.1s;
 
-	&:hover, &.is-visible {
+	&:hover,
+	&.is-visible {
 		opacity: 1;
 	}
 }
 
+// Don't show the sibling inserter before the selected block.
+.edit-post-layout:not( .has-fixed-toolbar ) {
+	// The child selector is necessary for this to work properly in nested contexts.
+	.is-selected > .editor-block-list__insertion-point > .editor-block-list__insertion-point-inserter {
+		opacity: 0;
+		pointer-events: none;
+
+		&.is-visible {
+			opacity: 1;
+			pointer-events: auto;
+		}
+	}
+}
+
 .editor-block-list__block {
 	> .editor-block-list__insertion-point {
 		position: absolute;