diff --git a/homeassistant/components/openai_conversation/const.py b/homeassistant/components/openai_conversation/const.py
index edad9574f7b..34516cbb109 100644
--- a/homeassistant/components/openai_conversation/const.py
+++ b/homeassistant/components/openai_conversation/const.py
@@ -7,17 +7,17 @@ DEFAULT_PROMPT = """This smart home is controlled by Home Assistant.
 
 An overview of the areas and the devices in this smart home:
 {%- for area in areas %}
-{%- set area_info = namespace(printed=false) %}
-{%- for device in area_devices(area.name) -%}
-{%- if not device_attr(device, "disabled_by") and not device_attr(device, "entry_type") %}
-{%- if not area_info.printed %}
+  {%- set area_info = namespace(printed=false) %}
+  {%- for device in area_devices(area.name) -%}
+    {%- if not device_attr(device, "disabled_by") and not device_attr(device, "entry_type") %}
+      {%- if not area_info.printed %}
 
 {{ area.name }}:
-{%- set area_info.printed = true %}
-{%- endif %}
+        {%- set area_info.printed = true %}
+      {%- endif %}
 - {{ device_attr(device, "name") }}{% if device_attr(device, "model") not in device_attr(device, "name") %} ({{ device_attr(device, "model") }}){% endif %}
-{%- endif %}
-{%- endfor %}
+    {%- endif %}
+  {%- endfor %}
 {%- endfor %}
 
 Answer the users questions about the world truthfully.
diff --git a/tests/components/openai_conversation/test_init.py b/tests/components/openai_conversation/test_init.py
index eb6afebd80e..ac5be9f6115 100644
--- a/tests/components/openai_conversation/test_init.py
+++ b/tests/components/openai_conversation/test_init.py
@@ -50,6 +50,17 @@ async def test_default_prompt(hass, mock_init_component):
         model="Test Model 3A",
         suggested_area="Test Area 2",
     )
+    device = device_reg.async_get_or_create(
+        config_entry_id="1234",
+        connections={("test", "9876-disabled")},
+        name="Test Device 3",
+        manufacturer="Test Manufacturer 3",
+        model="Test Model 3A",
+        suggested_area="Test Area 2",
+    )
+    device_reg.async_update_device(
+        device.id, disabled_by=device_registry.DeviceEntryDisabler.USER
+    )
 
     with patch("openai.Completion.create") as mock_create:
         await conversation.async_converse(hass, "hello", None, Context())