diff --git a/Sources/CodeEditTextView/TextLayoutManager/TextLayoutManager+Layout.swift b/Sources/CodeEditTextView/TextLayoutManager/TextLayoutManager+Layout.swift
index cdbc2704..04262283 100644
--- a/Sources/CodeEditTextView/TextLayoutManager/TextLayoutManager+Layout.swift
+++ b/Sources/CodeEditTextView/TextLayoutManager/TextLayoutManager+Layout.swift
@@ -87,30 +87,28 @@ extension TextLayoutManager {
 #if DEBUG
         var laidOutLines: Set<TextLine.ID> = []
 #endif
-
         // Layout all lines, fetching lines lazily as they are laid out.
         for linePosition in linesStartingAt(minY, until: maxY).lazy {
             guard linePosition.yPos < maxY else { continue }
             // Three ways to determine if a line needs to be re-calculated.
-            let changedWidth = linePosition.data.needsLayout(maxWidth: maxLineLayoutWidth)
+            let linePositionNeedsLayout = linePosition.data.needsLayout(maxWidth: maxLineLayoutWidth)
             let wasNotVisible = !visibleLineIds.contains(linePosition.data.id)
             let lineNotEntirelyLaidOut = linePosition.height != linePosition.data.lineFragments.height
 
-            if forceLayout || changedWidth || wasNotVisible || lineNotEntirelyLaidOut {
+            if forceLayout || linePositionNeedsLayout || wasNotVisible || lineNotEntirelyLaidOut {
                 let lineSize = layoutLine(
                     linePosition,
                     textStorage: textStorage,
                     layoutData: LineLayoutData(minY: minY, maxY: maxY, maxWidth: maxLineLayoutWidth),
                     laidOutFragmentIDs: &usedFragmentIDs
                 )
-                if lineSize.height != linePosition.height {
+                let wasLineHeightChanged = lineSize.height != linePosition.height
+                if wasLineHeightChanged {
                     lineStorage.update(
                         atOffset: linePosition.range.location,
                         delta: 0,
                         deltaHeight: lineSize.height - linePosition.height
                     )
-                    // If we've updated a line's height, force re-layout for the rest of the pass.
-                    forceLayout = true
 
                     if linePosition.yPos < minY {
                         // Adjust the scroll position by the difference between the new height and old.
@@ -123,6 +121,14 @@ extension TextLayoutManager {
 #if DEBUG
                 laidOutLines.insert(linePosition.data.id)
 #endif
+                // If we've updated a line's height, or a line position was newly laid out, force re-layout for the
+                // rest of the pass (going down the screen).
+                //
+                // These two signals identify:
+                // - New lines being inserted & Lines being deleted (lineNotEntirelyLaidOut)
+                // - Line updated for width change (wasLineHeightChanged)
+
+                forceLayout = forceLayout || wasLineHeightChanged || lineNotEntirelyLaidOut
             } else {
                 // Make sure the used fragment views aren't dequeued.
                 usedFragmentIDs.formUnion(linePosition.data.lineFragments.map(\.data.id))
diff --git a/Tests/CodeEditTextViewTests/LayoutManager/TextLayoutManagerTests.swift b/Tests/CodeEditTextViewTests/LayoutManager/TextLayoutManagerTests.swift
index dc34b6e2..7306e62d 100644
--- a/Tests/CodeEditTextViewTests/LayoutManager/TextLayoutManagerTests.swift
+++ b/Tests/CodeEditTextViewTests/LayoutManager/TextLayoutManagerTests.swift
@@ -187,6 +187,9 @@ struct TextLayoutManagerTests {
         #expect(layoutManager.needsLayout == false)
     }
 
+    /// Invalidating a range shouldn't cause a layout on any other lines next layout pass.
+    /// Note that this is correct behavior, and edits that add or remove lines will trigger another heuristic.
+    /// See `editsWithNewlinesForceLayoutGoingDownScreen`
     @Test
     func invalidatingRangeLaysOutLines() {
         layoutManager.layoutLines(in: NSRect(x: 0, y: 0, width: 1000, height: 1000))
@@ -203,6 +206,26 @@ struct TextLayoutManagerTests {
 
         let invalidatedLineIds = layoutManager.layoutLines()
 
-        #expect(invalidatedLineIds == lineIds, "Invalidated lines != lines that were laid out in next pass.")
+        #expect(
+            invalidatedLineIds.isSuperset(of: lineIds),
+            "Invalidated lines != lines that were laid out in next pass."
+        )
+    }
+
+    /// Inserting a new line should cause layout going down the rest of the screen, because the following lines
+    /// should have moved their position to accomodate the new line.
+    @Test
+    func editsWithNewlinesForceLayoutGoingDownScreen() {
+        layoutManager.layoutLines(in: NSRect(x: 0, y: 0, width: 1000, height: 1000))
+        textStorage.replaceCharacters(in: NSRange(start: 4, end: 4), with: "Z\n")
+
+        let expectedLineIds = Array(
+            layoutManager.lineStorage.linesInRange(NSRange(location: 4, length: 9))
+        ).map { $0.data.id }
+
+        #expect(layoutManager.needsLayout == false) // No forced layout for entire view
+
+        let invalidatedLineIds = layoutManager.layoutLines()
+        #expect(Set(expectedLineIds) == invalidatedLineIds)
     }
 }