Begin by preheating your oven to 375°F (190°C) and lightly grease a baking dish.
Arrange the thinly sliced sweet peppers evenly on the bottom of the baking dish, then place the chicken breasts on top of them.
In a small bowl, mix together the smoked paprika, onion powder, cayenne pepper, oregano, salt, and black pepper.
Generously sprinkle the spice mixture and minced garlic over both sides of the chicken breasts, gently rubbing them in to enhance the flavor.
Spoon about 2 tablespoons of cream cheese onto each chicken breast, ensuring all of the cream cheese is used.
Finish by scattering the shredded cheddar cheese over the entire baking dish.
Bake for 25-30 minutes, or until the chicken is thoroughly cooked. For a golden, bubbly top, briefly broil for 2 minutes.
Before serving, garnish with a few extra slices of the baked sweet peppers. Enjoy your healthy, flavorful meal!