01 - Preheat oven to 400°F. Lightly grease a large baking dish with cooking spray or olive oil.
02 - Arrange the sliced bell peppers and red onion evenly across the bottom of the baking dish. Drizzle with 1 tbsp olive oil and toss to coat.
03 - Place chicken breasts on top of the vegetables and brush with the remaining 1 tbsp olive oil.
04 - In a small bowl, combine garlic powder, smoked paprika, dried oregano, salt, and black pepper. Sprinkle the seasoning mixture evenly over each chicken breast.
05 - Dot each chicken breast with 1/2 tbsp softened cream cheese, spreading gently across the surface.
06 - Toss mozzarella and cheddar cheeses together, then distribute evenly over the chicken breasts.
07 - Bake for 25 to 30 minutes until chicken reaches an internal temperature of 165°F and cheese is golden and bubbly.
08 - Remove from oven and let rest for 5 minutes before serving to allow juices to redistribute.