diff --git a/docs/source/users/index.md b/docs/source/users/index.md
index 128ef3b23..b9e5e4452 100644
--- a/docs/source/users/index.md
+++ b/docs/source/users/index.md
@@ -765,6 +765,28 @@ The `--response-path` option is a [JSONPath](https://goessner.net/articles/JsonP
 You can specify an allowlist, to only allow only a certain list of providers, or
 a blocklist, to block some providers.
 
+### Initializing default providers
+
+This configuration allows for setting a default model, and embedding provider with their corresponding API keys, or related fields configuration.
+
+Following command line arguments can be used to initialize Jupyter AI extension with default providers:
+1. ```--AiExtension.model_provider_id```: Specify the default LLM model. E.g.: ```--AiExtension.model_provider_id="bedrock-chat:anthropic.claude-v2"```
+2. ```--AiExtension.embeddings_provider_id```: Specify default embedding provider. E.g.: ```--AiExtension.embeddings_provider_id="bedrock:amazon.titan-embed-text-v1"```
+3. ```--AiExtension.api_keys```: Specify model provider keys in a JSON format. E.g. ```--AiExtension.api_keys='{"OPENAI_API_KEY": "sk-abcd}'```
+4. ```--AiExtension.fields```: Specify additional configuration required for a LLM, and embedding model. E.g: ```--AiExtension.fields='{"bedrock-chat:anthropic.claude-v1":{"credentials_profile_name": "default","region_name": "us-west-2"},"bedrock:amazon.titan-embed-text-v1":{"credentials_profile_name": "default","region_name": "us-west-2"}}'```
+
+#### Initializing model provider with API keys
+
+```
+ jupyter lab --AiExtension.model_provider_id="bedrock-chat:anthropic.claude-v1"  --AiExtension.fields='{"bedrock-chat:anthropic.claude-v1":{"credentials_profile_name": "default","region_name": "us-west-2"},"bedrock:amazon.titan-embed-text-v1":{"credentials_profile_name": "default","region_name": "us-west-2"}}' --AiExtension.api_keys='{"OPENAI_API_KEY": "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"}
+```
+
+#### Initializing model provider which requires additional fields
+
+```
+ jupyter lab --AiExtension.model_provider_id="bedrock-chat:anthropic.claude-v1"  --AiExtension.fields='{"bedrock-chat:anthropic.claude-v1":{"credentials_profile_name": "default","region_name": "us-west-2"},"bedrock:amazon.titan-embed-text-v1":{"credentials_profile_name": "default","region_name": "us-west-2"}}' --AiExtension.api_keys='{"OPENAI_API_KEY": "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"}
+```
+
 ### Blocklisting providers
 
 This configuration allows for blocking specific providers in the settings panel.
diff --git a/packages/jupyter-ai/jupyter_ai/tests/test_config_manager.py b/packages/jupyter-ai/jupyter_ai/tests/test_config_manager.py
index c238fc448..eeddfff88 100644
--- a/packages/jupyter-ai/jupyter_ai/tests/test_config_manager.py
+++ b/packages/jupyter-ai/jupyter_ai/tests/test_config_manager.py
@@ -183,6 +183,44 @@ def test_init_with_allowlists(cm: ConfigManager, common_cm_kwargs):
     assert test_cm.lm_gid == None
     assert test_cm.em_gid == None
 
+def test_init_with_default_values(
+        cm_with_defaults: ConfigManager, config_path: str, schema_path: str
+):
+    """
+    Test that the ConfigManager initializes with the expected default values.
+
+    Args:
+        cm_with_defaults (ConfigManager): A ConfigManager instance with default values.
+        config_path (str): The path to the configuration file.
+        schema_path (str): The path to the schema file.
+    """
+    config_response = cm_with_defaults.get_config()
+    #assert config response
+    assert config_response.model_provider_id == "bedrock-chat:anthropic.claude-v1"
+    assert config_response.embeddings_provider_id == "bedrock:amazon.titan-embed-text-v1"
+    assert config_response.api_keys == ["OPENAI_API_KEY"]
+    assert config_response.fields == {"bedrock-chat:anthropic.claude-v1":{"credentials_profile_name": "default","region_name": "us-west-2"}}
+
+    del cm_with_defaults
+
+    log = logging.getLogger()
+    lm_providers = get_lm_providers()
+    em_providers = get_em_providers()
+    cm_with_defaults_override =ConfigManager(
+        log=log,
+        lm_providers=lm_providers,
+        em_providers=em_providers,
+        config_path=config_path,
+        schema_path=schema_path,
+        restrictions={"allowed_providers": None, "blocked_providers": None},
+        provider_defaults={"model_provider_id": "bedrock-chat:anthropic.claude-v2"},
+    )
+
+    assert cm_with_defaults_override.get_config().model_provider_id == "bedrock-chat:anthropic.claude-v2"
+
+
+    
+
 
 def test_property_access_on_default_config(cm: ConfigManager):
     """Asserts that the CM behaves well with an empty, default