diff --git a/services/core/java/com/android/server/wm/WindowToken.java b/services/core/java/com/android/server/wm/WindowToken.java
index 5276d9c8a5f14..5163a431bb843 100644
--- a/services/core/java/com/android/server/wm/WindowToken.java
+++ b/services/core/java/com/android/server/wm/WindowToken.java
@@ -758,11 +758,15 @@ class WindowToken extends WindowContainer<WindowState> {
 
     /** @see WindowState#freezeInsetsState() */
     void setInsetsFrozen(boolean freeze) {
-        if (freeze) {
-            forAllWindows(WindowState::freezeInsetsState, true /* traverseTopToBottom */);
-        } else {
-            forAllWindows(WindowState::clearFrozenInsetsState, true /* traverseTopToBottom */);
-        }
+        forAllWindows(w -> {
+            if (w.mToken == this) {
+                if (freeze) {
+                    w.freezeInsetsState();
+                } else {
+                    w.clearFrozenInsetsState();
+                }
+            }
+        },  true /* traverseTopToBottom */);
     }
 
     @Override
diff --git a/services/tests/wmtests/src/com/android/server/wm/WindowTokenTests.java b/services/tests/wmtests/src/com/android/server/wm/WindowTokenTests.java
index e2585e5ebfbaf..16e0d90ac2d3c 100644
--- a/services/tests/wmtests/src/com/android/server/wm/WindowTokenTests.java
+++ b/services/tests/wmtests/src/com/android/server/wm/WindowTokenTests.java
@@ -16,6 +16,7 @@
 
 package com.android.server.wm;
 
+import static android.view.InsetsState.ITYPE_IME;
 import static android.view.WindowManager.LayoutParams.FIRST_SUB_WINDOW;
 import static android.view.WindowManager.LayoutParams.TYPE_APPLICATION;
 import static android.view.WindowManager.LayoutParams.TYPE_APPLICATION_OVERLAY;
@@ -250,4 +251,29 @@ public class WindowTokenTests extends WindowTestsBase {
 
         verify(selectFunc).apply(token2.windowType, options);
     }
+
+    /**
+     * Test that {@link WindowToken#setInsetsFrozen(boolean)} will set the frozen insets
+     * states for its children windows and by default it shouldn't let IME window setting
+     * the frozen insets state even the window of the window token is the IME layering target.
+     */
+    @UseTestDisplay(addWindows = W_INPUT_METHOD)
+    @Test
+    public void testSetInsetsFrozen_notAffectImeWindowState() {
+        // Pre-condition: make the IME window be controlled by IME insets provider.
+        mDisplayContent.getInsetsStateController().getSourceProvider(ITYPE_IME).setWindow(
+                mDisplayContent.mInputMethodWindow, null, null);
+
+        // Simulate an app window to be the IME layering target, assume the app window has no
+        // frozen insets state by default.
+        final WindowState app = createWindow(null, TYPE_APPLICATION, "app");
+        mDisplayContent.setImeLayeringTarget(app);
+        assertNull(app.getFrozenInsetsState());
+        assertTrue(app.isImeLayeringTarget());
+
+        // Verify invoking setInsetsFrozen shouldn't let IME window setting the frozen insets state.
+        app.mToken.setInsetsFrozen(true);
+        assertNotNull(app.getFrozenInsetsState());
+        assertNull(mDisplayContent.mInputMethodWindow.getFrozenInsetsState());
+    }
 }