diff --git a/src/dev/build/tasks/os_packages/docker_generator/resources/base/bin/kibana-docker b/src/dev/build/tasks/os_packages/docker_generator/resources/base/bin/kibana-docker
index db36c9cf248e7..505390a17f683 100755
--- a/src/dev/build/tasks/os_packages/docker_generator/resources/base/bin/kibana-docker
+++ b/src/dev/build/tasks/os_packages/docker_generator/resources/base/bin/kibana-docker
@@ -200,6 +200,8 @@ kibana_vars=(
     xpack.fleet.agents.elasticsearch.host
     xpack.fleet.agents.kibana.host
     xpack.fleet.agents.tlsCheckDisabled
+    xpack.fleet.agentPolicies
+    xpack.fleet.packages
     xpack.fleet.registryUrl
     xpack.graph.canEditDrillDownUrls
     xpack.graph.enabled
diff --git a/x-pack/plugins/fleet/common/constants/index.ts b/x-pack/plugins/fleet/common/constants/index.ts
index 5598e63219776..3704533e79b4a 100644
--- a/x-pack/plugins/fleet/common/constants/index.ts
+++ b/x-pack/plugins/fleet/common/constants/index.ts
@@ -15,6 +15,7 @@ export * from './epm';
 export * from './output';
 export * from './enrollment_api_key';
 export * from './settings';
+export * from './preconfiguration';
 
 // TODO: This is the default `index.max_result_window` ES setting, which dictates
 // the maximum amount of results allowed to be returned from a search. It's possible
diff --git a/x-pack/plugins/fleet/common/constants/preconfiguration.ts b/x-pack/plugins/fleet/common/constants/preconfiguration.ts
new file mode 100644
index 0000000000000..376ba551b1359
--- /dev/null
+++ b/x-pack/plugins/fleet/common/constants/preconfiguration.ts
@@ -0,0 +1,9 @@
+/*
+ * Copyright Elasticsearch B.V. and/or licensed to Elasticsearch B.V. under one
+ * or more contributor license agreements. Licensed under the Elastic License
+ * 2.0; you may not use this file except in compliance with the Elastic License
+ * 2.0.
+ */
+
+export const PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE =
+  'fleet-preconfiguration-deletion-record';
diff --git a/x-pack/plugins/fleet/common/types/index.ts b/x-pack/plugins/fleet/common/types/index.ts
index 1984de79a6357..cdea56448f3a2 100644
--- a/x-pack/plugins/fleet/common/types/index.ts
+++ b/x-pack/plugins/fleet/common/types/index.ts
@@ -7,6 +7,7 @@
 
 export * from './models';
 export * from './rest_spec';
+import type { PreconfiguredAgentPolicy, PreconfiguredPackage } from './models/preconfiguration';
 
 export interface FleetConfigType {
   enabled: boolean;
@@ -32,6 +33,8 @@ export interface FleetConfigType {
     agentPolicyRolloutRateLimitIntervalMs: number;
     agentPolicyRolloutRateLimitRequestPerInterval: number;
   };
+  agentPolicies?: PreconfiguredAgentPolicy[];
+  packages?: PreconfiguredPackage[];
 }
 
 // Calling Object.entries(PackagesGroupedByStatus) gave `status: string`
diff --git a/x-pack/plugins/fleet/common/types/rest_spec/ingest_setup.ts b/x-pack/plugins/fleet/common/types/rest_spec/ingest_setup.ts
index 12054aff124f7..2180b66908498 100644
--- a/x-pack/plugins/fleet/common/types/rest_spec/ingest_setup.ts
+++ b/x-pack/plugins/fleet/common/types/rest_spec/ingest_setup.ts
@@ -7,4 +7,5 @@
 
 export interface PostIngestSetupResponse {
   isInitialized: boolean;
+  preconfigurationError?: { name: string; message: string };
 }
diff --git a/x-pack/plugins/fleet/public/applications/fleet/app.tsx b/x-pack/plugins/fleet/public/applications/fleet/app.tsx
index 2c24468b14782..5663bd4768d5c 100644
--- a/x-pack/plugins/fleet/public/applications/fleet/app.tsx
+++ b/x-pack/plugins/fleet/public/applications/fleet/app.tsx
@@ -28,6 +28,7 @@ import {
   sendSetup,
   useBreadcrumbs,
   useConfig,
+  useStartServices,
 } from './hooks';
 import { Error, Loading } from './components';
 import { IntraAppStateProvider } from './hooks/use_intra_app_state';
@@ -59,6 +60,7 @@ const Panel = styled(EuiPanel)`
 
 export const WithPermissionsAndSetup: React.FC = memo(({ children }) => {
   useBreadcrumbs('base');
+  const { notifications } = useStartServices();
 
   const [isPermissionsLoading, setIsPermissionsLoading] = useState<boolean>(false);
   const [permissionsError, setPermissionsError] = useState<string>();
@@ -81,6 +83,13 @@ export const WithPermissionsAndSetup: React.FC = memo(({ children }) => {
             if (setupResponse.error) {
               setInitializationError(setupResponse.error);
             }
+            if (setupResponse.data.preconfigurationError) {
+              notifications.toasts.addError(setupResponse.data.preconfigurationError, {
+                title: i18n.translate('xpack.fleet.setup.uiPreconfigurationErrorTitle', {
+                  defaultMessage: 'Configuration error',
+                }),
+              });
+            }
           } catch (err) {
             setInitializationError(err);
           }
@@ -92,7 +101,7 @@ export const WithPermissionsAndSetup: React.FC = memo(({ children }) => {
         setPermissionsError('REQUEST_ERROR');
       }
     })();
-  }, []);
+  }, [notifications.toasts]);
 
   if (isPermissionsLoading || permissionsError) {
     return (
diff --git a/x-pack/plugins/fleet/server/constants/index.ts b/x-pack/plugins/fleet/server/constants/index.ts
index 7f5586fb0f034..27af46d0a757d 100644
--- a/x-pack/plugins/fleet/server/constants/index.ts
+++ b/x-pack/plugins/fleet/server/constants/index.ts
@@ -52,4 +52,5 @@ export {
   // Fleet Server index
   ENROLLMENT_API_KEYS_INDEX,
   AGENTS_INDEX,
+  PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
 } from '../../common';
diff --git a/x-pack/plugins/fleet/server/index.ts b/x-pack/plugins/fleet/server/index.ts
index 0178b801f4d2f..c66dd471690eb 100644
--- a/x-pack/plugins/fleet/server/index.ts
+++ b/x-pack/plugins/fleet/server/index.ts
@@ -15,6 +15,8 @@ import {
   AGENT_POLLING_REQUEST_TIMEOUT_MS,
 } from '../common';
 
+import { PreconfiguredPackagesSchema, PreconfiguredAgentPoliciesSchema } from './types';
+
 import { FleetPlugin } from './plugin';
 
 export { default as apm } from 'elastic-apm-node';
@@ -77,6 +79,8 @@ export const config: PluginConfigDescriptor = {
         defaultValue: AGENT_POLICY_ROLLOUT_RATE_LIMIT_REQUEST_PER_INTERVAL,
       }),
     }),
+    packages: schema.maybe(PreconfiguredPackagesSchema),
+    agentPolicies: schema.maybe(PreconfiguredAgentPoliciesSchema),
   }),
 };
 
diff --git a/x-pack/plugins/fleet/server/plugin.ts b/x-pack/plugins/fleet/server/plugin.ts
index 20cfae6bc1cf2..d25b1e13904db 100644
--- a/x-pack/plugins/fleet/server/plugin.ts
+++ b/x-pack/plugins/fleet/server/plugin.ts
@@ -48,6 +48,7 @@ import {
   AGENT_SAVED_OBJECT_TYPE,
   AGENT_EVENT_SAVED_OBJECT_TYPE,
   ENROLLMENT_API_KEYS_SAVED_OBJECT_TYPE,
+  PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
 } from './constants';
 import { registerSavedObjects, registerEncryptedSavedObjects } from './saved_objects';
 import {
@@ -133,6 +134,7 @@ const allSavedObjectTypes = [
   AGENT_SAVED_OBJECT_TYPE,
   AGENT_EVENT_SAVED_OBJECT_TYPE,
   ENROLLMENT_API_KEYS_SAVED_OBJECT_TYPE,
+  PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
 ];
 
 /**
diff --git a/x-pack/plugins/fleet/server/routes/setup/handlers.test.ts b/x-pack/plugins/fleet/server/routes/setup/handlers.test.ts
index 469b2409f140a..2618f3de0d534 100644
--- a/x-pack/plugins/fleet/server/routes/setup/handlers.test.ts
+++ b/x-pack/plugins/fleet/server/routes/setup/handlers.test.ts
@@ -45,7 +45,9 @@ describe('FleetSetupHandler', () => {
   });
 
   it('POST /setup succeeds w/200 and body of resolved value', async () => {
-    mockSetupIngestManager.mockImplementation(() => Promise.resolve({ isIntialized: true }));
+    mockSetupIngestManager.mockImplementation(() =>
+      Promise.resolve({ isInitialized: true, preconfigurationError: undefined })
+    );
     await FleetSetupHandler(context, request, response);
 
     const expectedBody: PostIngestSetupResponse = { isInitialized: true };
diff --git a/x-pack/plugins/fleet/server/routes/setup/handlers.ts b/x-pack/plugins/fleet/server/routes/setup/handlers.ts
index a7fdcf78f4be9..e94c9470dd350 100644
--- a/x-pack/plugins/fleet/server/routes/setup/handlers.ts
+++ b/x-pack/plugins/fleet/server/routes/setup/handlers.ts
@@ -63,13 +63,13 @@ export const createFleetSetupHandler: RequestHandler<
   try {
     const soClient = context.core.savedObjects.client;
     const esClient = context.core.elasticsearch.client.asCurrentUser;
-    await setupIngestManager(soClient, esClient);
+    const body = await setupIngestManager(soClient, esClient);
     await setupFleet(soClient, esClient, {
       forceRecreate: request.body?.forceRecreate ?? false,
     });
 
     return response.ok({
-      body: { isInitialized: true },
+      body,
     });
   } catch (error) {
     return defaultIngestErrorHandler({ error, response });
@@ -81,8 +81,7 @@ export const FleetSetupHandler: RequestHandler = async (context, request, respon
   const esClient = context.core.elasticsearch.client.asCurrentUser;
 
   try {
-    const body: PostIngestSetupResponse = { isInitialized: true };
-    await setupIngestManager(soClient, esClient);
+    const body: PostIngestSetupResponse = await setupIngestManager(soClient, esClient);
     return response.ok({
       body,
     });
diff --git a/x-pack/plugins/fleet/server/saved_objects/index.ts b/x-pack/plugins/fleet/server/saved_objects/index.ts
index 8554c0702f733..58ec3972ca517 100644
--- a/x-pack/plugins/fleet/server/saved_objects/index.ts
+++ b/x-pack/plugins/fleet/server/saved_objects/index.ts
@@ -19,6 +19,7 @@ import {
   AGENT_ACTION_SAVED_OBJECT_TYPE,
   ENROLLMENT_API_KEYS_SAVED_OBJECT_TYPE,
   GLOBAL_SETTINGS_SAVED_OBJECT_TYPE,
+  PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
 } from '../constants';
 
 import {
@@ -358,6 +359,19 @@ const getSavedObjectTypes = (
       },
     },
   },
+  [PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE]: {
+    name: PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
+    hidden: false,
+    namespaceType: 'agnostic',
+    management: {
+      importableAndExportable: false,
+    },
+    mappings: {
+      properties: {
+        preconfiguration_id: { type: 'keyword' },
+      },
+    },
+  },
 });
 
 export function registerSavedObjects(
diff --git a/x-pack/plugins/fleet/server/services/agent_policy.ts b/x-pack/plugins/fleet/server/services/agent_policy.ts
index 7f793a41ab985..59214e287c873 100644
--- a/x-pack/plugins/fleet/server/services/agent_policy.ts
+++ b/x-pack/plugins/fleet/server/services/agent_policy.ts
@@ -19,6 +19,7 @@ import {
   DEFAULT_AGENT_POLICY,
   AGENT_POLICY_SAVED_OBJECT_TYPE,
   AGENT_SAVED_OBJECT_TYPE,
+  PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
 } from '../constants';
 import type {
   PackagePolicy,
@@ -150,7 +151,7 @@ class AgentPolicyService {
     config: PreconfiguredAgentPolicy
   ): Promise<{
     created: boolean;
-    policy: AgentPolicy;
+    policy?: AgentPolicy;
   }> {
     const { id, ...preconfiguredAgentPolicy } = omit(config, 'package_policies');
     const preconfigurationId = String(id);
@@ -582,6 +583,13 @@ class AgentPolicyService {
         }
       );
     }
+
+    if (agentPolicy.preconfiguration_id) {
+      await soClient.create(PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE, {
+        preconfiguration_id: String(agentPolicy.preconfiguration_id),
+      });
+    }
+
     await soClient.delete(SAVED_OBJECT_TYPE, id);
     await this.triggerAgentPolicyUpdatedEvent(soClient, esClient, 'deleted', id);
     return {
@@ -819,5 +827,6 @@ export async function addPackageToAgentPolicy(
 
   await packagePolicyService.create(soClient, esClient, newPackagePolicy, {
     bumpRevision: false,
+    skipEnsureInstalled: true,
   });
 }
diff --git a/x-pack/plugins/fleet/server/services/package_policy.ts b/x-pack/plugins/fleet/server/services/package_policy.ts
index 7d12aad6f32b5..1d2295a553462 100644
--- a/x-pack/plugins/fleet/server/services/package_policy.ts
+++ b/x-pack/plugins/fleet/server/services/package_policy.ts
@@ -60,7 +60,13 @@ class PackagePolicyService {
     soClient: SavedObjectsClientContract,
     esClient: ElasticsearchClient,
     packagePolicy: NewPackagePolicy,
-    options?: { id?: string; user?: AuthenticatedUser; bumpRevision?: boolean; force?: boolean }
+    options?: {
+      id?: string;
+      user?: AuthenticatedUser;
+      bumpRevision?: boolean;
+      force?: boolean;
+      skipEnsureInstalled?: boolean;
+    }
   ): Promise<PackagePolicy> {
     // Check that its agent policy does not have a package policy with the same name
     const parentAgentPolicy = await agentPolicyService.get(soClient, packagePolicy.policy_id);
@@ -90,18 +96,25 @@ class PackagePolicyService {
 
     // Make sure the associated package is installed
     if (packagePolicy.package?.name) {
-      const [, pkgInfo] = await Promise.all([
-        ensureInstalledPackage({
-          savedObjectsClient: soClient,
-          pkgName: packagePolicy.package.name,
-          esClient,
-        }),
-        getPackageInfo({
-          savedObjectsClient: soClient,
-          pkgName: packagePolicy.package.name,
-          pkgVersion: packagePolicy.package.version,
-        }),
-      ]);
+      const pkgInfoPromise = getPackageInfo({
+        savedObjectsClient: soClient,
+        pkgName: packagePolicy.package.name,
+        pkgVersion: packagePolicy.package.version,
+      });
+
+      let pkgInfo;
+      if (options?.skipEnsureInstalled) pkgInfo = await pkgInfoPromise;
+      else {
+        const [, packageInfo] = await Promise.all([
+          ensureInstalledPackage({
+            savedObjectsClient: soClient,
+            pkgName: packagePolicy.package.name,
+            esClient,
+          }),
+          pkgInfoPromise,
+        ]);
+        pkgInfo = packageInfo;
+      }
 
       // Check if it is a limited package, and if so, check that the corresponding agent policy does not
       // already contain a package policy for this package
diff --git a/x-pack/plugins/fleet/server/services/preconfiguration.test.ts b/x-pack/plugins/fleet/server/services/preconfiguration.test.ts
index 8a885f9c5c821..94865f5d3d917 100644
--- a/x-pack/plugins/fleet/server/services/preconfiguration.test.ts
+++ b/x-pack/plugins/fleet/server/services/preconfiguration.test.ts
@@ -10,6 +10,8 @@ import { elasticsearchServiceMock, savedObjectsClientMock } from 'src/core/serve
 import type { PreconfiguredAgentPolicy } from '../../common/types';
 import type { AgentPolicy, NewPackagePolicy, Output } from '../types';
 
+import { AGENT_POLICY_SAVED_OBJECT_TYPE } from '../constants';
+
 import { ensurePreconfiguredPackagesAndPolicies } from './preconfiguration';
 
 const mockInstalledPackages = new Map();
@@ -27,30 +29,31 @@ const mockDefaultOutput: Output = {
 function getPutPreconfiguredPackagesMock() {
   const soClient = savedObjectsClientMock.create();
   soClient.find.mockImplementation(async ({ type, search }) => {
-    const attributes = mockConfiguredPolicies.get(search!.replace(/"/g, ''));
-    if (attributes) {
-      return {
-        saved_objects: [
-          {
-            id: `mocked-${attributes.preconfiguration_id}`,
-            attributes,
-            type: type as string,
-            score: 1,
-            references: [],
-          },
-        ],
-        total: 1,
-        page: 1,
-        per_page: 1,
-      };
-    } else {
-      return {
-        saved_objects: [],
-        total: 0,
-        page: 1,
-        per_page: 0,
-      };
+    if (type === AGENT_POLICY_SAVED_OBJECT_TYPE) {
+      const attributes = mockConfiguredPolicies.get(search!.replace(/"/g, ''));
+      if (attributes) {
+        return {
+          saved_objects: [
+            {
+              id: `mocked-${attributes.preconfiguration_id}`,
+              attributes,
+              type: type as string,
+              score: 1,
+              references: [],
+            },
+          ],
+          total: 1,
+          page: 1,
+          per_page: 1,
+        };
+      }
     }
+    return {
+      saved_objects: [],
+      total: 0,
+      page: 1,
+      per_page: 0,
+    };
   });
   soClient.create.mockImplementation(async (type, policy) => {
     const attributes = policy as AgentPolicy;
diff --git a/x-pack/plugins/fleet/server/services/preconfiguration.ts b/x-pack/plugins/fleet/server/services/preconfiguration.ts
index 97480fcf6b2a8..3bd3169673b31 100644
--- a/x-pack/plugins/fleet/server/services/preconfiguration.ts
+++ b/x-pack/plugins/fleet/server/services/preconfiguration.ts
@@ -19,6 +19,9 @@ import type {
   PreconfiguredAgentPolicy,
   PreconfiguredPackage,
 } from '../../common';
+import { PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE } from '../constants';
+
+import { escapeSearchQueryPhrase } from './saved_object';
 
 import { pkgToPkgKey } from './epm/registry';
 import { getInstallation } from './epm/packages';
@@ -69,6 +72,21 @@ export async function ensurePreconfiguredPackagesAndPolicies(
   // Create policies specified in Kibana config
   const preconfiguredPolicies = await Promise.all(
     policies.map(async (preconfiguredAgentPolicy) => {
+      // Check to see if a preconfigured policy with the same preconfigurationId was already deleted by the user
+      const preconfigurationId = String(preconfiguredAgentPolicy.id);
+      const searchParams = {
+        searchFields: ['preconfiguration_id'],
+        search: escapeSearchQueryPhrase(preconfigurationId),
+      };
+      const deletionRecords = await soClient.find({
+        type: PRECONFIGURATION_DELETION_RECORD_SAVED_OBJECT_TYPE,
+        ...searchParams,
+      });
+      const wasDeleted = deletionRecords.total > 0;
+      if (wasDeleted) {
+        return { created: false, deleted: preconfigurationId };
+      }
+
       const { created, policy } = await agentPolicyService.ensurePreconfiguredAgentPolicy(
         soClient,
         esClient,
@@ -122,22 +140,32 @@ export async function ensurePreconfiguredPackagesAndPolicies(
       await addPreconfiguredPolicyPackages(
         soClient,
         esClient,
-        policy,
+        policy!,
         installedPackagePolicies!,
         defaultOutput
       );
       // Add the is_managed flag after configuring package policies to avoid errors
       if (shouldAddIsManagedFlag) {
-        agentPolicyService.update(soClient, esClient, policy.id, { is_managed: true });
+        agentPolicyService.update(soClient, esClient, policy!.id, { is_managed: true });
       }
     }
   }
 
   return {
-    policies: preconfiguredPolicies.map((p) => ({
-      id: p.policy.id,
-      updated_at: p.policy.updated_at,
-    })),
+    policies: preconfiguredPolicies.map((p) =>
+      p.policy
+        ? {
+            id: p.policy.id,
+            updated_at: p.policy.updated_at,
+          }
+        : {
+            id: p.deleted,
+            updated_at: i18n.translate('xpack.fleet.preconfiguration.policyDeleted', {
+              defaultMessage: 'Preconfigured policy {id} was deleted; skipping creation',
+              values: { id: p.deleted },
+            }),
+          }
+    ),
     packages: preconfiguredPackages.map((pkg) => pkgToPkgKey(pkg)),
   };
 }
@@ -155,20 +183,19 @@ async function addPreconfiguredPolicyPackages(
   >,
   defaultOutput: Output
 ) {
-  return await Promise.all(
-    installedPackagePolicies.map(async ({ installedPackage, name, description, inputs }) =>
-      addPackageToAgentPolicy(
-        soClient,
-        esClient,
-        installedPackage,
-        agentPolicy,
-        defaultOutput,
-        name,
-        description,
-        (policy) => overridePackageInputs(policy, inputs)
-      )
-    )
-  );
+  // Add packages synchronously to avoid overwriting
+  for (const { installedPackage, name, description, inputs } of installedPackagePolicies) {
+    await addPackageToAgentPolicy(
+      soClient,
+      esClient,
+      installedPackage,
+      agentPolicy,
+      defaultOutput,
+      name,
+      description,
+      (policy) => overridePackageInputs(policy, inputs)
+    );
+  }
 }
 
 async function ensureInstalledPreconfiguredPackage(
diff --git a/x-pack/plugins/fleet/server/services/setup.ts b/x-pack/plugins/fleet/server/services/setup.ts
index b5e2326386e02..6d98bc4263a16 100644
--- a/x-pack/plugins/fleet/server/services/setup.ts
+++ b/x-pack/plugins/fleet/server/services/setup.ts
@@ -15,7 +15,9 @@ import type { PackagePolicy } from '../../common';
 
 import { SO_SEARCH_LIMIT } from '../constants';
 
+import { appContextService } from './app_context';
 import { agentPolicyService, addPackageToAgentPolicy } from './agent_policy';
+import { ensurePreconfiguredPackagesAndPolicies } from './preconfiguration';
 import { outputService } from './output';
 import {
   ensureInstalledDefaultPackages,
@@ -34,7 +36,8 @@ const FLEET_ENROLL_USERNAME = 'fleet_enroll';
 const FLEET_ENROLL_ROLE = 'fleet_enroll';
 
 export interface SetupStatus {
-  isIntialized: true | undefined;
+  isInitialized: boolean;
+  preconfigurationError: { name: string; message: string } | undefined;
 }
 
 export async function setupIngestManager(
@@ -48,17 +51,10 @@ async function createSetupSideEffects(
   soClient: SavedObjectsClientContract,
   esClient: ElasticsearchClient
 ): Promise<SetupStatus> {
-  const [
-    installedPackages,
-    defaultOutput,
-    { created: defaultAgentPolicyCreated, policy: defaultAgentPolicy },
-    { created: defaultFleetServerPolicyCreated, policy: defaultFleetServerPolicy },
-  ] = await Promise.all([
+  const [installedPackages, defaultOutput] = await Promise.all([
     // packages installed by default
     ensureInstalledDefaultPackages(soClient, esClient),
     outputService.ensureDefaultOutput(soClient),
-    agentPolicyService.ensureDefaultAgentPolicy(soClient, esClient),
-    agentPolicyService.ensureDefaultFleetServerAgentPolicy(soClient, esClient),
     updateFleetRoleIfExists(esClient),
     settingsService.getSettings(soClient).catch((e: any) => {
       if (e.isBoom && e.output.statusCode === 404) {
@@ -86,6 +82,37 @@ async function createSetupSideEffects(
     esClient,
   });
 
+  const { agentPolicies: policiesOrUndefined, packages: packagesOrUndefined } =
+    appContextService.getConfig() ?? {};
+
+  const policies = policiesOrUndefined ?? [];
+  const packages = packagesOrUndefined ?? [];
+  let preconfigurationError;
+
+  try {
+    await ensurePreconfiguredPackagesAndPolicies(
+      soClient,
+      esClient,
+      policies,
+      packages,
+      defaultOutput
+    );
+  } catch (e) {
+    preconfigurationError = { name: e.name, message: e.message };
+  }
+
+  // Ensure the predefined default policies AFTER loading preconfigured policies. This allows the kibana config
+  // to override the default agent policies.
+
+  const [
+    { created: defaultAgentPolicyCreated, policy: defaultAgentPolicy },
+    { created: defaultFleetServerPolicyCreated, policy: defaultFleetServerPolicy },
+  ] = await Promise.all([
+    agentPolicyService.ensureDefaultAgentPolicy(soClient, esClient),
+    agentPolicyService.ensureDefaultFleetServerAgentPolicy(soClient, esClient),
+  ]);
+
+  // If we just created the default fleet server policy add the fleet server package
   if (defaultFleetServerPolicyCreated) {
     await addPackageToAgentPolicy(
       soClient,
@@ -96,8 +123,6 @@ async function createSetupSideEffects(
     );
   }
 
-  // If we just created the default fleet server policy add the fleet server package
-
   // If we just created the default policy, ensure default packages are added to it
   if (defaultAgentPolicyCreated) {
     const agentPolicyWithPackagePolicies = await agentPolicyService.get(
@@ -151,7 +176,7 @@ async function createSetupSideEffects(
 
   await ensureAgentActionPolicyChangeExists(soClient);
 
-  return { isIntialized: true };
+  return { isInitialized: true, preconfigurationError };
 }
 
 async function updateFleetRoleIfExists(esClient: ElasticsearchClient) {