diff --git a/src/Razor/src/Microsoft.VisualStudioCode.RazorExtension/Services/CohostConfigurationChangedService.cs b/src/Razor/src/Microsoft.VisualStudioCode.RazorExtension/Services/CohostConfigurationChangedService.cs
index 86e674e85da..c3321011963 100644
--- a/src/Razor/src/Microsoft.VisualStudioCode.RazorExtension/Services/CohostConfigurationChangedService.cs
+++ b/src/Razor/src/Microsoft.VisualStudioCode.RazorExtension/Services/CohostConfigurationChangedService.cs
@@ -9,6 +9,7 @@
 using Microsoft.CodeAnalysis.ExternalAccess.Razor;
 using Microsoft.CodeAnalysis.ExternalAccess.Razor.Cohost;
 using Microsoft.CodeAnalysis.Razor.Logging;
+using Microsoft.CodeAnalysis.Razor.Settings;
 using Microsoft.CodeAnalysis.Razor.Workspaces.Settings;
 using Microsoft.VisualStudio.Razor.LanguageClient.Cohost;
 
@@ -59,16 +60,21 @@ private async Task RefreshOptionsAsync(RazorCohostRequestContext requestContext,
             cancellationToken).ConfigureAwait(false);
 
         var current = _clientSettingsManager.GetClientSettings().AdvancedSettings;
-        var settings = current with
-        {
-            CodeBlockBraceOnNextLine = GetBooleanOptionValue(options[0], current.CodeBlockBraceOnNextLine),
-            AttributeIndentStyle = GetEnumOptionValue(options[1], current.AttributeIndentStyle),
-            CommitElementsWithSpace = GetBooleanOptionValue(options[2], current.CommitElementsWithSpace),
-        };
+        var settings = UpdateSettingsFromJson(current, options);
 
         _clientSettingsManager.Update(settings);
     }
 
+    private static ClientAdvancedSettings UpdateSettingsFromJson(ClientAdvancedSettings settings, JsonArray jsonArray)
+    {
+        return settings with
+        {
+            CodeBlockBraceOnNextLine = GetBooleanOptionValue(jsonArray[0], settings.CodeBlockBraceOnNextLine),
+            AttributeIndentStyle = GetEnumOptionValue(jsonArray[1], settings.AttributeIndentStyle),
+            CommitElementsWithSpace = GetBooleanOptionValue(jsonArray[2], settings.CommitElementsWithSpace),
+        };
+    }
+
     private static bool GetBooleanOptionValue(JsonNode? jsonNode, bool defaultValue)
     {
         if (jsonNode is null)
@@ -86,11 +92,17 @@ private static T GetEnumOptionValue<T>(JsonNode? jsonNode, T defaultValue) where
             return defaultValue;
         }
 
-        if (Enum.TryParse<T>(jsonNode.GetValue<string>(), out var value))
+        if (Enum.TryParse<T>(jsonNode.GetValue<string>(), ignoreCase: true, out var value))
         {
             return value;
         }
 
         return defaultValue;
     }
+
+    public static class TestAccessor
+    {
+        public static ClientAdvancedSettings UpdateSettingsFromJson(ClientAdvancedSettings settigns, JsonArray jsonArray)
+            => CohostConfigurationChangedService.UpdateSettingsFromJson(settigns, jsonArray);
+    }
 }
diff --git a/src/Razor/test/Microsoft.VisualStudioCode.RazorExtension.Test/CohostConfigurationChangedServiceTest.cs b/src/Razor/test/Microsoft.VisualStudioCode.RazorExtension.Test/CohostConfigurationChangedServiceTest.cs
new file mode 100644
index 00000000000..a8fcd759007
--- /dev/null
+++ b/src/Razor/test/Microsoft.VisualStudioCode.RazorExtension.Test/CohostConfigurationChangedServiceTest.cs
@@ -0,0 +1,36 @@
+// Licensed to the .NET Foundation under one or more agreements.
+// The .NET Foundation licenses this file to you under the MIT license.
+
+using System.Text.Json.Nodes;
+using Microsoft.AspNetCore.Razor;
+using Microsoft.CodeAnalysis.Razor.Settings;
+using Microsoft.VisualStudio.Razor.LanguageClient.Cohost;
+using Microsoft.VisualStudioCode.RazorExtension.Endpoints;
+using Xunit;
+using Xunit.Abstractions;
+
+namespace Microsoft.VisualStudioCode.RazorExtension.Test;
+
+public class CohostConfigurationChangedServiceTest(ITestOutputHelper testOutput) : CohostEndpointTestBase(testOutput)
+{
+    [Fact]
+    public void ReadSettings()
+    {
+        var settings = ClientSettingsManager.GetClientSettings().AdvancedSettings;
+
+        // If the defaults for these settings change, the json parsing could break and we might not know
+        Assert.False(settings.CodeBlockBraceOnNextLine);
+        Assert.Equal(AttributeIndentStyle.AlignWithFirst, settings.AttributeIndentStyle);
+        Assert.True(settings.CommitElementsWithSpace);
+
+        var json = (JsonArray)JsonNode.Parse("""
+            ["true", "indentByOne", "false"]
+            """).AssumeNotNull();
+
+        var updatedSettings = CohostConfigurationChangedService.TestAccessor.UpdateSettingsFromJson(settings, json);
+
+        Assert.True(updatedSettings.CodeBlockBraceOnNextLine);
+        Assert.Equal(AttributeIndentStyle.IndentByOne, updatedSettings.AttributeIndentStyle);
+        Assert.False(updatedSettings.CommitElementsWithSpace);
+    }
+}