diff --git a/plugins/ui/src/js/src/DashboardPlugin.tsx b/plugins/ui/src/js/src/DashboardPlugin.tsx
index 0b22fc62e..614dfe17f 100644
--- a/plugins/ui/src/js/src/DashboardPlugin.tsx
+++ b/plugins/ui/src/js/src/DashboardPlugin.tsx
@@ -76,13 +76,7 @@ export function DashboardPlugin(
   >(new Map());
 
   const handleWidgetOpen = useCallback(
-    ({
-      widgetId = nanoid(),
-      widget,
-    }: {
-      widgetId: string;
-      widget: WidgetDescriptor;
-    }) => {
+    ({ widgetId, widget }: { widgetId: string; widget: WidgetDescriptor }) => {
       log.debug('Opening widget with ID', widgetId, widget);
       setWidgetMap(prevWidgetMap => {
         const newWidgetMap = new Map(prevWidgetMap);
diff --git a/plugins/ui/src/js/src/layout/ReactPanel.tsx b/plugins/ui/src/js/src/layout/ReactPanel.tsx
index 6ff46f70f..9ebdc1180 100644
--- a/plugins/ui/src/js/src/layout/ReactPanel.tsx
+++ b/plugins/ui/src/js/src/layout/ReactPanel.tsx
@@ -7,7 +7,13 @@ import {
   useLayoutManager,
   useListener,
 } from '@deephaven/dashboard';
-import { View, ViewProps, Flex, FlexProps } from '@deephaven/components';
+import {
+  View,
+  ViewProps,
+  Flex,
+  FlexProps,
+  LoadingOverlay,
+} from '@deephaven/components';
 import Log from '@deephaven/log';
 import PortalPanel from './PortalPanel';
 import { ReactPanelControl, useReactPanel } from './ReactPanelManager';
@@ -186,6 +192,20 @@ function ReactPanel({
   );
   const widgetStatus = useWidgetStatus();
 
+  let renderedChildren: React.ReactNode;
+  if (widgetStatus.status === 'loading') {
+    renderedChildren = (
+      <>
+        <LoadingOverlay />
+        {children}
+      </>
+    );
+  } else if (widgetStatus.status === 'error') {
+    renderedChildren = <WidgetErrorView error={widgetStatus.error} />;
+  } else {
+    renderedChildren = children;
+  }
+
   return portal
     ? ReactDOM.createPortal(
         <ReactPanelContext.Provider value={panelId}>
@@ -224,11 +244,7 @@ function ReactPanel({
                  * Don't render the children if there's an error with the widget. If there's an error with the widget, we can assume the children won't render properly,
                  * but we still want the panels to appear so things don't disappear/jump around.
                  */}
-                {widgetStatus.status === 'error' ? (
-                  <WidgetErrorView error={widgetStatus.error} />
-                ) : (
-                  children
-                )}
+                {renderedChildren}
               </ReactPanelErrorBoundary>
             </Flex>
           </View>
diff --git a/plugins/ui/src/js/src/widget/WidgetHandler.tsx b/plugins/ui/src/js/src/widget/WidgetHandler.tsx
index e4184cfd1..121d9f666 100644
--- a/plugins/ui/src/js/src/widget/WidgetHandler.tsx
+++ b/plugins/ui/src/js/src/widget/WidgetHandler.tsx
@@ -64,6 +64,14 @@ function WidgetHandler({
   initialData: initialDataProp,
 }: WidgetHandlerProps): JSX.Element | null {
   const { widget, error: widgetError } = useWidget(widgetDescriptor);
+  const [isLoading, setIsLoading] = useState(true);
+  const [prevWidget, setPrevWidget] = useState(widget);
+  // Cannot use usePrevious to change setIsLoading
+  // Since usePrevious runs in an effect, the value never gets updated if setIsLoading is called during render
+  if (widget !== prevWidget) {
+    setPrevWidget(widget);
+    setIsLoading(true);
+  }
 
   const [document, setDocument] = useState<ReactNode>();
 
@@ -226,6 +234,7 @@ function WidgetHandler({
           const newDocument = parseDocument(documentParam);
           setInternalError(undefined);
           setDocument(newDocument);
+          setIsLoading(false); // Must go after setDocument since setters are not batched in effects
           if (stateParam != null) {
             try {
               const newState = JSON.parse(stateParam);
@@ -339,11 +348,14 @@ function WidgetHandler({
     if (error != null) {
       return { status: 'error', descriptor: widgetDescriptor, error };
     }
+    if (isLoading) {
+      return { status: 'loading', descriptor: widgetDescriptor };
+    }
     if (renderedDocument != null) {
       return { status: 'ready', descriptor: widgetDescriptor };
     }
     return { status: 'loading', descriptor: widgetDescriptor };
-  }, [error, renderedDocument, widgetDescriptor]);
+  }, [error, renderedDocument, widgetDescriptor, isLoading]);
 
   return useMemo(
     () =>