diff --git a/src/Avalonia.Controls/Generators/ItemContainerGenerator.cs b/src/Avalonia.Controls/Generators/ItemContainerGenerator.cs
index 0598bb1a63..1cf40d335f 100644
--- a/src/Avalonia.Controls/Generators/ItemContainerGenerator.cs
+++ b/src/Avalonia.Controls/Generators/ItemContainerGenerator.cs
@@ -56,6 +56,16 @@ namespace Avalonia.Controls.Generators
         public void PrepareItemContainer(Control container, object? item, int index) => 
             _owner.PrepareItemContainer(container, item, index);
 
+        /// <summary>
+        /// Called when the index for a container changes due to an insertion or removal in the
+        /// items collection.
+        /// </summary>
+        /// <param name="container">The container whose index changed.</param>
+        /// <param name="oldIndex">The old index.</param>
+        /// <param name="newIndex">The new index.</param>
+        public void ItemContainerIndexChanged(Control container, int oldIndex, int newIndex) =>
+            _owner.ItemContainerIndexChanged(container, oldIndex, newIndex);
+
         /// <summary>
         /// Undoes the effects of the <see cref="PrepareItemContainer(Control, object, int)"/> method.
         /// </summary>
diff --git a/src/Avalonia.Controls/ItemsControl.cs b/src/Avalonia.Controls/ItemsControl.cs
index b7a63811c4..7c24717a06 100644
--- a/src/Avalonia.Controls/ItemsControl.cs
+++ b/src/Avalonia.Controls/ItemsControl.cs
@@ -298,6 +298,17 @@ namespace Avalonia.Controls
                 container.SetValue(ThemeProperty, ItemContainerTheme, BindingPriority.Template);
         }
 
+        /// <summary>
+        /// Called when the index for a container changes due to an insertion or removal in the
+        /// items collection.
+        /// </summary>
+        /// <param name="container">The container whose index changed.</param>
+        /// <param name="oldIndex">The old index.</param>
+        /// <param name="newIndex">The new index.</param>
+        protected virtual void ContainerIndexChangedOverride(Control container, int oldIndex, int newIndex)
+        {
+        }
+
         /// <summary>
         /// Undoes the effects of the <see cref="PrepareContainerForItemOverride(Control, object?, int)"/> method.
         /// </summary>
@@ -474,6 +485,11 @@ namespace Avalonia.Controls
             PrepareContainerForItemOverride(container, item, index);
         }
 
+        internal void ItemContainerIndexChanged(Control container, int oldIndex, int newIndex)
+        {
+            ContainerIndexChangedOverride(container, oldIndex, newIndex);
+        }
+
         /// <summary>
         /// Given a collection of items, adds those that are controls to the logical children.
         /// </summary>
diff --git a/src/Avalonia.Controls/Presenters/PanelContainerGenerator.cs b/src/Avalonia.Controls/Presenters/PanelContainerGenerator.cs
index 56e1901117..4a31017fbd 100644
--- a/src/Avalonia.Controls/Presenters/PanelContainerGenerator.cs
+++ b/src/Avalonia.Controls/Presenters/PanelContainerGenerator.cs
@@ -63,25 +63,40 @@ namespace Avalonia.Controls.Presenters
                 return;
 
             var itemsControl = _presenter.ItemsControl;
-            var panel = _presenter.Panel;
+            var generator = itemsControl.ItemContainerGenerator;
+            var children = _presenter.Panel.Children;
 
             void Add(int index, IEnumerable items)
             {
                 var i = index;
                 foreach (var item in items)
                 {
-                    panel.Children.Insert(i, CreateContainer(itemsControl, item, i));
+                    children.Insert(i, CreateContainer(itemsControl, item, i));
                     ++i;
                 }
+
+                var childCount = children.Count;
+                var delta = i - index;
+
+                for (; i < childCount; ++i)
+                    generator.ItemContainerIndexChanged(children[i], i - delta, i);
             }
-            
+
             void Remove(int index, int count)
             {
                 for (var i = 0; i < count; ++i)
                 {
-                    itemsControl.RemoveLogicalChild(panel.Children[i + index]);
-                    panel.Children.RemoveAt(i + index);
+                    var c = children[i];
+                    if (!c.IsSet(ItemIsOwnContainerProperty))
+                        itemsControl.RemoveLogicalChild(children[i + index]);
                 }
+
+                children.RemoveRange(index, count);
+
+                var childCount = children.Count;
+
+                for (var i = index; i < childCount; ++i)
+                    generator.ItemContainerIndexChanged(children[i], i - count, i);
             }
 
             switch (e.Action)
@@ -102,7 +117,7 @@ namespace Avalonia.Controls.Presenters
                     break;
                 case NotifyCollectionChangedAction.Reset:
                     ClearItemsControlLogicalChildren();
-                    panel.Children.Clear();
+                    children.Clear();
                     if (_presenter.ItemsControl?.Items is { } items)
                         Add(0, items);
                     break;
diff --git a/src/Avalonia.Controls/Primitives/SelectingItemsControl.cs b/src/Avalonia.Controls/Primitives/SelectingItemsControl.cs
index a49705d754..253726c5aa 100644
--- a/src/Avalonia.Controls/Primitives/SelectingItemsControl.cs
+++ b/src/Avalonia.Controls/Primitives/SelectingItemsControl.cs
@@ -449,6 +449,12 @@ namespace Avalonia.Controls.Primitives
             }
         }
 
+        protected override void ContainerIndexChangedOverride(Control container, int oldIndex, int newIndex)
+        {
+            base.ContainerIndexChangedOverride(container, oldIndex, newIndex);
+            MarkContainerSelected(container, Selection.IsSelected(newIndex));
+        }
+
         protected internal override void ClearContainerForItemOverride(Control element)
         {
             base.ClearContainerForItemOverride(element);
diff --git a/src/Avalonia.Controls/VirtualizingStackPanel.cs b/src/Avalonia.Controls/VirtualizingStackPanel.cs
index 76cbf94f09..6373d5f3bd 100644
--- a/src/Avalonia.Controls/VirtualizingStackPanel.cs
+++ b/src/Avalonia.Controls/VirtualizingStackPanel.cs
@@ -25,7 +25,7 @@ namespace Avalonia.Controls
 
         private static readonly Rect s_invalidViewport = new(double.PositiveInfinity, double.PositiveInfinity, 0, 0);
         private readonly Action<Control> _recycleElement;
-        private readonly Action<Control, int> _updateElementIndex;
+        private readonly Action<Control, int, int> _updateElementIndex;
         private int _anchorIndex = -1;
         private Control? _anchorElement;
         private bool _isInLayout;
@@ -513,9 +513,9 @@ namespace Avalonia.Controls
             }
         }
 
-        private void UpdateElementIndex(Control element, int index)
+        private void UpdateElementIndex(Control element, int oldIndex, int newIndex)
         {
-            // TODO: Implement this after we refactor ItemContainerGenerator.
+            ItemsControl!.ItemContainerGenerator.ItemContainerIndexChanged(element, oldIndex, newIndex);
         }
 
         private void OnEffectiveViewportChanged(object? sender, EffectiveViewportChangedEventArgs e)
@@ -725,7 +725,7 @@ namespace Avalonia.Controls
             /// <param name="modelIndex">The index in the source collection of the insert.</param>
             /// <param name="count">The number of items inserted.</param>
             /// <param name="updateElementIndex">A method used to update the element indexes.</param>
-            public void ItemsInserted(int modelIndex, int count, Action<Control, int> updateElementIndex)
+            public void ItemsInserted(int modelIndex, int count, Action<Control, int, int> updateElementIndex)
             {
                 if (modelIndex < 0)
                     throw new ArgumentOutOfRangeException(nameof(modelIndex));
@@ -742,11 +742,13 @@ namespace Avalonia.Controls
                     // elements after the insertion point.
                     var elementCount = _elements.Count;
                     var start = Math.Max(index, 0);
+                    var newIndex = first + count;
 
                     for (var i = start; i < elementCount; ++i)
                     {
                         if (_elements[i] is Control element)
-                            updateElementIndex(element, first + i + count);
+                            updateElementIndex(element, newIndex - count, newIndex);
+                        ++newIndex;
                     }
 
                     if (index <= 0)
@@ -774,7 +776,7 @@ namespace Avalonia.Controls
             public void ItemsRemoved(
                 int modelIndex,
                 int count,
-                Action<Control, int> updateElementIndex,
+                Action<Control, int, int> updateElementIndex,
                 Action<Control> recycleElement)
             {
                 if (modelIndex < 0)
@@ -794,10 +796,12 @@ namespace Avalonia.Controls
                     // the indexes of the realized elements.
                     _firstIndex -= count;
 
+                    var newIndex = _firstIndex;
                     for (var i = 0; i < _elements.Count; ++i)
                     {
                         if (_elements[i] is Control element)
-                            updateElementIndex(element, _firstIndex + i);
+                            updateElementIndex(element, newIndex - count, newIndex);
+                        ++newIndex;
                     }
                 }
                 else if (startIndex < _elements.Count)
@@ -822,10 +826,12 @@ namespace Avalonia.Controls
 
                     // Update the indexes of the elements after the removed range.
                     end = _elements.Count;
+                    var newIndex = first;
                     for (var i = start; i < end; ++i)
                     {
                         if (_elements[i] is Control element)
-                            updateElementIndex(element, first + i);
+                            updateElementIndex(element, newIndex - count, newIndex);
+                        ++newIndex;
                     }
                 }
             }