diff --git a/src/package.ts b/src/package.ts
index ec8f2d3f..e9c6cbf1 100644
--- a/src/package.ts
+++ b/src/package.ts
@@ -401,7 +401,7 @@ export class ManifestProcessor extends BaseProcessor {
 			}
 
 			if (target) {
-				if (engineVersion !== 'latest' && !semver.satisfies(engineVersion, '>=1.61')) {
+				if (engineVersion !== 'latest' && !semver.satisfies(engineVersion, '>=1.61', { includePrerelease: true })) {
 					throw new Error(
 						`Platform specific extension is supported by VS Code >=1.61. Current 'engines.vscode' is '${manifest.engines['vscode']}'.`
 					);
@@ -412,7 +412,7 @@ export class ManifestProcessor extends BaseProcessor {
 			}
 
 			if (preRelease) {
-				if (engineVersion !== 'latest' && !semver.satisfies(engineVersion, '>=1.63')) {
+				if (engineVersion !== 'latest' && !semver.satisfies(engineVersion, '>=1.63', { includePrerelease: true })) {
 					throw new Error(
 						`Pre-release versions are supported by VS Code >=1.63. Current 'engines.vscode' is '${manifest.engines['vscode']}'.`
 					);
diff --git a/src/test/package.test.ts b/src/test/package.test.ts
index 95cae87b..3cd904db 100644
--- a/src/test/package.test.ts
+++ b/src/test/package.test.ts
@@ -1604,6 +1604,17 @@ describe('toVsixManifest', () => {
 		assert.strictEqual(dom.PackageManifest.Metadata[0].Identity[0].$.TargetPlatform, 'win32-x64');
 	});
 
+	it('should set the target platform when engine is set to insider', async () => {
+		const manifest = createManifest({ engines: { vscode: '>=1.62.0-insider' } });
+		const raw = await _toVsixManifest(manifest, [], { target: 'win32-x64' });
+		const dom = await parseXmlManifest(raw);
+
+		assert.strictEqual(dom.PackageManifest.Metadata[0].Identity[0].$.Id, 'test');
+		assert.strictEqual(dom.PackageManifest.Metadata[0].Identity[0].$.Version, '0.0.1');
+		assert.strictEqual(dom.PackageManifest.Metadata[0].Identity[0].$.Publisher, 'mocha');
+		assert.strictEqual(dom.PackageManifest.Metadata[0].Identity[0].$.TargetPlatform, 'win32-x64');
+	});
+
 	it('should fail when target is invalid', async () => {
 		const manifest = createManifest();
 
@@ -1649,6 +1660,15 @@ describe('toVsixManifest', () => {
 		assertProperty(xmlManifest, 'Microsoft.VisualStudio.Code.PreRelease', 'true');
 	});
 
+	it('should add prerelease property when --pre-release flag is passed when engine property is for insiders', async () => {
+		const manifest = createManifest({ engines: { vscode: '>=1.64.0-insider' } });
+
+		const raw = await _toVsixManifest(manifest, [], { preRelease: true });
+		const xmlManifest = await parseXmlManifest(raw);
+
+		assertProperty(xmlManifest, 'Microsoft.VisualStudio.Code.PreRelease', 'true');
+	});
+
 	it('should not add prerelease property when --pre-release flag is not passed', async () => {
 		const manifest = createManifest({ engines: { vscode: '>=1.64.0' } });