diff --git a/.vscode/launch.json b/.vscode/launch.json
index 95c1bf69..291c3c06 100644
--- a/.vscode/launch.json
+++ b/.vscode/launch.json
@@ -12,9 +12,9 @@
       "runtimeArgs": ["run", "start"],
       "skipFiles": ["<node_internals>/**"],
       "cwd": "${workspaceFolder}",
+      "console": "integratedTerminal",
       "env": {
-        "GEMINI_SANDBOX": "false",
-        "GEMINI_API_KEY": "testkey"
+        "GEMINI_SANDBOX": "false"
       }
     },
     {
diff --git a/packages/cli/src/ui/components/AuthDialog.test.tsx b/packages/cli/src/ui/components/AuthDialog.test.tsx
index a5f46d93..8d56e96a 100644
--- a/packages/cli/src/ui/components/AuthDialog.test.tsx
+++ b/packages/cli/src/ui/components/AuthDialog.test.tsx
@@ -5,11 +5,14 @@
  */
 
 import { render } from 'ink-testing-library';
+import { describe, it, expect, vi } from 'vitest';
 import { AuthDialog } from './AuthDialog.js';
-import { LoadedSettings } from '../../config/settings.js';
+import { LoadedSettings, SettingScope } from '../../config/settings.js';
 import { AuthType } from '@gemini-cli/core';
 
 describe('AuthDialog', () => {
+  const wait = (ms = 50) => new Promise((resolve) => setTimeout(resolve, ms));
+
   it('should show an error if the initial auth type is invalid', () => {
     const settings: LoadedSettings = new LoadedSettings(
       {
@@ -38,4 +41,75 @@ describe('AuthDialog', () => {
       'GEMINI_API_KEY  environment variable not found',
     );
   });
+
+  it('should prevent exiting when no auth method is selected and show error message', async () => {
+    const onSelect = vi.fn();
+    const settings: LoadedSettings = new LoadedSettings(
+      {
+        settings: {
+          selectedAuthType: undefined,
+        },
+        path: '',
+      },
+      {
+        settings: {},
+        path: '',
+      },
+      [],
+    );
+
+    const { lastFrame, stdin, unmount } = render(
+      <AuthDialog
+        onSelect={onSelect}
+        onHighlight={() => {}}
+        settings={settings}
+      />,
+    );
+    await wait();
+
+    // Simulate pressing escape key
+    stdin.write('\u001b'); // ESC key
+    await wait();
+
+    // Should show error message instead of calling onSelect
+    expect(lastFrame()).toContain(
+      'You must select an auth method to proceed. Press Ctrl+C twice to exit.',
+    );
+    expect(onSelect).not.toHaveBeenCalled();
+    unmount();
+  });
+
+  it('should allow exiting when auth method is already selected', async () => {
+    const onSelect = vi.fn();
+    const settings: LoadedSettings = new LoadedSettings(
+      {
+        settings: {
+          selectedAuthType: AuthType.USE_GEMINI,
+        },
+        path: '',
+      },
+      {
+        settings: {},
+        path: '',
+      },
+      [],
+    );
+
+    const { stdin, unmount } = render(
+      <AuthDialog
+        onSelect={onSelect}
+        onHighlight={() => {}}
+        settings={settings}
+      />,
+    );
+    await wait();
+
+    // Simulate pressing escape key
+    stdin.write('\u001b'); // ESC key
+    await wait();
+
+    // Should call onSelect with undefined to exit
+    expect(onSelect).toHaveBeenCalledWith(undefined, SettingScope.User);
+    unmount();
+  });
 });
diff --git a/packages/cli/src/ui/components/AuthDialog.tsx b/packages/cli/src/ui/components/AuthDialog.tsx
index 7ae8b7ee..c0e5d4f8 100644
--- a/packages/cli/src/ui/components/AuthDialog.tsx
+++ b/packages/cli/src/ui/components/AuthDialog.tsx
@@ -78,6 +78,13 @@ export function AuthDialog({
 
   useInput((_input, key) => {
     if (key.escape) {
+      if (settings.merged.selectedAuthType === undefined) {
+        // Prevent exiting if no auth method is set
+        setErrorMessage(
+          'You must select an auth method to proceed. Press Ctrl+C twice to exit.',
+        );
+        return;
+      }
       onSelect(undefined, SettingScope.User);
     }
   });