diff --git a/armorpaint/Sources/arm/App.hx b/armorpaint/Sources/arm/App.hx
index 395dcfc7..5c881922 100644
--- a/armorpaint/Sources/arm/App.hx
+++ b/armorpaint/Sources/arm/App.hx
@@ -428,12 +428,17 @@ class App {
 				else if (Context.inMaterials()) {
 					TabMaterials.acceptSwatchDrag(dragSwatch);
 				}
-				else if (Context.inLayers() || Context.inViewport()) {
+				else if (Context.inViewport()) {
 					var color = dragSwatch.base;
 					color.A = dragSwatch.opacity;
 
 					App.createColorLayer(color.value, dragSwatch.occlusion, dragSwatch.roughness, dragSwatch.metallic);
 				}
+				else if (Context.inLayers() && TabLayers.canDropNewLayer(Context.raw.dragDestination)) {
+					var color = dragSwatch.base;
+					color.A = dragSwatch.opacity;
+					App.createColorLayer(color.value, dragSwatch.occlusion, dragSwatch.roughness, dragSwatch.metallic, Context.raw.dragDestination);
+				}
 				else if (Context.inSwatches()) {
 					TabSwatches.acceptSwatchDrag(dragSwatch);
 				}
@@ -496,11 +501,16 @@ class App {
 
 	static function materialDropped() {
 		// Material drag and dropped onto viewport or layers tab
-		if (Context.inViewport() || Context.inLayers()) {
+		if (Context.inViewport()) {
 			var uvType = Input.getKeyboard().down("control") ? UVProject : UVMap;
 			var decalMat = uvType == UVProject ? RenderUtil.getDecalMat() : null;
 			App.createFillLayer(uvType, decalMat);
 		}
+		if (Context.inLayers() && TabLayers.canDropNewLayer(Context.raw.dragDestination)) {
+			var uvType = Input.getKeyboard().down("control") ? UVProject : UVMap;
+			var decalMat = uvType == UVProject ? RenderUtil.getDecalMat() : null;
+			App.createFillLayer(uvType, decalMat, Context.raw.dragDestination);
+		}
 		else if (Context.inNodes()) {
 			UINodes.inst.acceptMaterialDrag(Project.materials.indexOf(dragMaterial));
 		}
@@ -1638,12 +1648,18 @@ class App {
 		UVUtil.dilatemapCached = false;
 	}
 
-	public static function newLayer(clear = true): LayerSlot {
+	public static function newLayer(clear = true, position = -1): LayerSlot {
 		if (Project.layers.length > maxLayers) return null;
 		var l = new LayerSlot();
 		l.objectMask = Context.raw.layerFilter;
-		if (Context.raw.layer.isMask()) Context.setLayer(Context.raw.layer.parent);
-		Project.layers.insert(Project.layers.indexOf(Context.raw.layer) + 1, l);
+		if (position == -1) {
+			if (Context.raw.layer.isMask()) Context.setLayer(Context.raw.layer.parent);
+			Project.layers.insert(Project.layers.indexOf(Context.raw.layer) + 1, l);
+		}
+		else {
+			Project.layers.insert(position, l);	
+		}
+		
 		Context.setLayer(l);
 		var li = Project.layers.indexOf(Context.raw.layer);
 		if (li > 0) {
@@ -1676,9 +1692,9 @@ class App {
 		return l;
 	}
 
-	public static function createFillLayer(uvType = UVMap, decalMat: Mat4 = null) {
+	public static function createFillLayer(uvType = UVMap, decalMat: Mat4 = null, position = -1) {
 		function _init() {
-			var l = newLayer(false);
+			var l = newLayer(false, position);
 			History.newLayer();
 			l.uvType = uvType;
 			if (decalMat != null) l.decalMat = decalMat;
@@ -1701,9 +1717,9 @@ class App {
 		Context.raw.layerPreviewDirty = true;
 	}
 
-	public static function createColorLayer(baseColor: Int, occlusion = 1.0, roughness = App.defaultRough, metallic = 0.0) {
+	public static function createColorLayer(baseColor: Int, occlusion = 1.0, roughness = App.defaultRough, metallic = 0.0, position = -1) {
 		function _init() {
-			var l = newLayer(false);
+			var l = newLayer(false, position);
 			History.newLayer();
 			l.uvType = UVMap;
 			l.objectMask = Context.raw.layerFilter;
diff --git a/armorpaint/Sources/arm/ui/TabLayers.hx b/armorpaint/Sources/arm/ui/TabLayers.hx
index cf69e643..30bafaf4 100644
--- a/armorpaint/Sources/arm/ui/TabLayers.hx
+++ b/armorpaint/Sources/arm/ui/TabLayers.hx
@@ -221,6 +221,18 @@ class TabLayers {
 				}
 			}
 		}
+		if (App.isDragging && (App.dragMaterial != null || App.dragSwatch != null) && Context.inLayers()) {
+			if (mouse.y > ui._y + step && mouse.y < ui._y + step * 3) {
+				Context.raw.dragDestination = i;
+				if (canDropNewLayer(i))
+					ui.fill(checkw, 2 * step, (ui._windowW / ui.SCALE() - 2) - checkw, 2 * ui.SCALE(), ui.t.HIGHLIGHT_COL);
+			}
+			else if (i == Project.layers.length - 1 && mouse.y < ui._y + step) {
+				Context.raw.dragDestination = Project.layers.length;
+				if (canDropNewLayer(Project.layers.length))
+					ui.fill(checkw, 0, (ui._windowW / ui.SCALE() - 2) - checkw, 2 * ui.SCALE(), ui.t.HIGHLIGHT_COL);
+			}
+		}
 
 		var hasPanel = l.isGroup() || (l.isLayer() && l.getMasks(false) != null);
 		if (hasPanel) {
@@ -883,4 +895,13 @@ class TabLayers {
 		// Do not delete last layer
 		return numLayers > 1;
 	}
+
+	public static function canDropNewLayer(position: Int) {
+		if (position > 0 && position < Project.layers.length && Project.layers[position - 1].isMask()) {
+			// 1. The layer to insert is inserted in the middle
+			// 2. The layer below is a mask, i.e. the layer would have to be a (group) mask, too.
+			return false;
+		}
+		return true;
+	}
 }