diff --git a/src/libs/UnreadIndicatorUpdater/index.ts b/src/libs/UnreadIndicatorUpdater/index.ts
index 044b643f5322..5ba15f519ce9 100644
--- a/src/libs/UnreadIndicatorUpdater/index.ts
+++ b/src/libs/UnreadIndicatorUpdater/index.ts
@@ -22,6 +22,9 @@ export default function getUnreadReportsForUnreadIndicator(reports: OnyxCollecti
                 isInGSDMode: false,
                 excludeEmptyChats: false,
             }) &&
+            // Chats with hidden preference remain invisible in the LHN and are not considered "unread."
+            // They are excluded from the LHN rendering, but not filtered from the "option list."
+            // This ensures they appear in Search, but not in the LHN or unread count.
             report?.notificationPreference !== CONST.REPORT.NOTIFICATION_PREFERENCE.HIDDEN,
     );
 }