diff --git a/public/app/features/alerting/unified/components/rule-editor/AnnotationsField.test.tsx b/public/app/features/alerting/unified/components/rule-editor/AnnotationsField.test.tsx
index a5645d048cf..430c84bd53b 100644
--- a/public/app/features/alerting/unified/components/rule-editor/AnnotationsField.test.tsx
+++ b/public/app/features/alerting/unified/components/rule-editor/AnnotationsField.test.tsx
@@ -1,4 +1,4 @@
-import { findByText, findByTitle, render } from '@testing-library/react';
+import { findByRole, findByText, findByTitle, getByTestId, render } from '@testing-library/react';
 import userEvent from '@testing-library/user-event';
 import { rest } from 'msw';
 import { setupServer } from 'msw/node';
@@ -107,8 +107,8 @@ describe('AnnotationsField', function () {
           title: 'My dashboard',
           uid: 'dash-test-uid',
           panels: [
-            { id: 1, title: 'First panel' },
-            { id: 2, title: 'Second panel' },
+            { id: 1, title: 'First panel', type: 'timeseries' },
+            { id: 2, title: 'Second panel', type: 'timeseries' },
           ],
         })
       );
@@ -137,8 +137,8 @@ describe('AnnotationsField', function () {
           title: 'My dashboard',
           uid: 'dash-test-uid',
           panels: [
-            { id: 1, title: 'First panel' },
-            { id: 2, title: 'Second panel' },
+            { id: 1, title: 'First panel', type: 'graph' },
+            { id: 2, title: 'Second panel', type: 'graph' },
           ],
         })
       );
@@ -186,8 +186,8 @@ describe('AnnotationsField', function () {
           title: 'My dashboard',
           uid: 'dash-test-uid',
           panels: [
-            { id: 1, title: 'First panel' },
-            { id: 2, title: 'Second panel' },
+            { id: 1, title: 'First panel', type: 'timeseries' },
+            { id: 2, title: 'Second panel', type: 'timeseries' },
           ],
         })
       );
@@ -195,7 +195,7 @@ describe('AnnotationsField', function () {
         mockDashboardDto({
           title: 'My other dashboard',
           uid: 'dash-other-uid',
-          panels: [{ id: 3, title: 'Third panel' }],
+          panels: [{ id: 3, title: 'Third panel', type: 'timeseries' }],
         })
       );
 
@@ -216,10 +216,12 @@ describe('AnnotationsField', function () {
       expect(annotationValueElements[0]).toHaveTextContent('dash-test-uid');
       expect(annotationValueElements[1]).toHaveTextContent('1');
 
+      const { confirmButton, dialog } = ui.dashboardPicker;
+
       await user.click(ui.setDashboardButton.get());
-      await user.click(await findByTitle(ui.dashboardPicker.dialog.get(), 'My other dashboard'));
-      await user.click(await findByText(ui.dashboardPicker.dialog.get(), 'Third panel'));
-      await user.click(ui.dashboardPicker.confirmButton.get());
+      await user.click(await findByRole(dialog.get(), 'button', { name: /My other dashboard/ }));
+      await user.click(await findByRole(dialog.get(), 'button', { name: /Third panel/ }));
+      await user.click(confirmButton.get());
 
       expect(ui.dashboardPicker.dialog.query()).not.toBeInTheDocument();
 
@@ -235,6 +237,36 @@ describe('AnnotationsField', function () {
       expect(annotationKeyElements[1]).toHaveTextContent('Panel ID');
       expect(annotationValueElements[1]).toHaveTextContent('3');
     });
+
+    it('should render warning icon for panels of type other than graph and timeseries', async function () {
+      mockSearchApiResponse(server, [
+        mockDashboardSearchItem({ title: 'My dashboard', uid: 'dash-test-uid', type: DashboardSearchItemType.DashDB }),
+      ]);
+
+      mockGetDashboardResponse(
+        mockDashboardDto({
+          title: 'My dashboard',
+          uid: 'dash-test-uid',
+          panels: [
+            { id: 1, title: 'First panel', type: 'bar' },
+            { id: 2, title: 'Second panel', type: 'graph' },
+          ],
+        })
+      );
+
+      const user = userEvent.setup();
+
+      render(<FormWrapper formValues={{ annotations: [] }} />);
+
+      const { dialog } = ui.dashboardPicker;
+
+      await user.click(ui.setDashboardButton.get());
+      await user.click(await findByTitle(dialog.get(), 'My dashboard'));
+
+      const warnedPanel = await findByRole(dialog.get(), 'button', { name: /First panel/ });
+
+      expect(getByTestId(warnedPanel, 'warning-icon')).toBeInTheDocument();
+    });
   });
 });
 
diff --git a/public/app/features/alerting/unified/components/rule-editor/DashboardPicker.tsx b/public/app/features/alerting/unified/components/rule-editor/DashboardPicker.tsx
index ab0fd01aa52..a26569be67c 100644
--- a/public/app/features/alerting/unified/components/rule-editor/DashboardPicker.tsx
+++ b/public/app/features/alerting/unified/components/rule-editor/DashboardPicker.tsx
@@ -5,13 +5,24 @@ import AutoSizer from 'react-virtualized-auto-sizer';
 import { FixedSizeList } from 'react-window';
 
 import { GrafanaTheme2 } from '@grafana/data/src';
-import { FilterInput, LoadingPlaceholder, useStyles2, Icon, Modal, Button, Alert } from '@grafana/ui';
+import {
+  FilterInput,
+  LoadingPlaceholder,
+  useStyles2,
+  Icon,
+  Modal,
+  Button,
+  Alert,
+  clearButtonStyles,
+  Tooltip,
+} from '@grafana/ui';
 
 import { dashboardApi } from '../../api/dashboardApi';
 
 export interface PanelDTO {
   id: number;
   title?: string;
+  type: string;
 }
 
 function panelSort(a: PanelDTO, b: PanelDTO) {
@@ -62,7 +73,7 @@ export const DashboardPicker = ({ dashboardUid, panelId, isOpen, onChange, onDis
 
   const filteredPanels =
     dashboardResult?.dashboard?.panels
-      ?.filter((panel): panel is PanelDTO => typeof panel.id === 'number')
+      ?.filter((panel): panel is PanelDTO => typeof panel.id === 'number' && typeof panel.type === 'string')
       ?.filter((panel) => panel.title?.toLowerCase().includes(panelFilter.toLowerCase()))
       .sort(panelSort) ?? [];
 
@@ -102,10 +113,10 @@ export const DashboardPicker = ({ dashboardUid, panelId, isOpen, onChange, onDis
       <div
         title={dashboard.title}
         style={style}
-        className={cx(styles.row, { [styles.rowOdd]: index % 2 === 1, [styles.rowSelected]: isSelected })}
+        className={cx(styles.rowButton, { [styles.rowOdd]: index % 2 === 1, [styles.rowSelected]: isSelected })}
         onClick={() => handleDashboardChange(dashboard.uid)}
       >
-        <div className={styles.dashboardTitle}>{dashboard.title}</div>
+        <div className={cx(styles.dashboardTitle, styles.rowButtonTitle)}>{dashboard.title}</div>
         <div className={styles.dashboardFolder}>
           <Icon name="folder" /> {dashboard.folderTitle ?? 'General'}
         </div>
@@ -115,16 +126,28 @@ export const DashboardPicker = ({ dashboardUid, panelId, isOpen, onChange, onDis
 
   const PanelRow = ({ index, style }: { index: number; style: CSSProperties }) => {
     const panel = filteredPanels[index];
+    const panelTitle = panel.title || '<No title>';
     const isSelected = selectedPanelId === panel.id.toString();
+    const isAlertingCompatible = panel.type === 'graph' || panel.type === 'timeseries';
 
     return (
-      <div
+      <button
         style={style}
-        className={cx(styles.row, { [styles.rowOdd]: index % 2 === 1, [styles.rowSelected]: isSelected })}
+        className={cx(styles.rowButton, styles.panelButton, {
+          [styles.rowOdd]: index % 2 === 1,
+          [styles.rowSelected]: isSelected,
+        })}
         onClick={() => setSelectedPanelId(panel.id.toString())}
       >
-        {panel.title || '<No title>'}
-      </div>
+        <div className={styles.rowButtonTitle} title={panelTitle}>
+          {panelTitle}
+        </div>
+        {!isAlertingCompatible && (
+          <Tooltip content="Alert tab will be disabled for this panel. It is only supported on graph and timeseries panels">
+            <Icon name="exclamation-triangle" className={styles.warnIcon} data-testid="warning-icon" />
+          </Tooltip>
+        )}
+      </button>
     );
   };
 
@@ -184,12 +207,16 @@ export const DashboardPicker = ({ dashboardUid, panelId, isOpen, onChange, onDis
         </div>
 
         <div className={styles.column}>
-          {!dashboardUid && !isDashboardFetching && <div>Select a dashboard to get a list of available panels</div>}
+          {!selectedDashboardUid && !isDashboardFetching && (
+            <div className={styles.selectDashboardPlaceholder}>
+              <div>Select a dashboard to get a list of available panels</div>
+            </div>
+          )}
           {isDashboardFetching && (
             <LoadingPlaceholder text="Loading dashboard..." className={styles.loadingPlaceholder} />
           )}
 
-          {!isDashboardFetching && (
+          {selectedDashboardUid && !isDashboardFetching && (
             <AutoSizer>
               {({ width, height }) => (
                 <FixedSizeList itemSize={32} height={height} width={width} itemCount={filteredPanels.length}>
@@ -221,60 +248,93 @@ export const DashboardPicker = ({ dashboardUid, panelId, isOpen, onChange, onDis
   );
 };
 
-const getPickerStyles = (theme: GrafanaTheme2) => ({
-  container: css`
-    display: grid;
-    grid-template-columns: 1fr 1fr;
-    grid-template-rows: min-content auto;
-    gap: ${theme.spacing(2)};
-    flex: 1;
-  `,
-  column: css`
-    flex: 1 1 auto;
-  `,
-  dashboardTitle: css`
-    height: 22px;
-    font-weight: ${theme.typography.fontWeightBold};
-  `,
-  dashboardFolder: css`
-    height: 20px;
-    font-size: ${theme.typography.bodySmall.fontSize};
-    color: ${theme.colors.text.secondary};
-    display: flex;
-    flex-direction: row;
-    justify-content: flex-start;
-    column-gap: ${theme.spacing(1)};
-    align-items: center;
-  `,
-  row: css`
-    padding: ${theme.spacing(0.5)};
-    overflow: hidden;
-    text-overflow: ellipsis;
-    white-space: nowrap;
-    cursor: pointer;
-    border: 2px solid transparent;
-  `,
-  rowSelected: css`
-    border-color: ${theme.colors.primary.border};
-  `,
-  rowOdd: css`
-    background-color: ${theme.colors.background.secondary};
-  `,
-  loadingPlaceholder: css`
-    height: 100%;
-    display: flex;
-    justify-content: center;
-    align-items: center;
-  `,
-  modal: css`
-    height: 100%;
-  `,
-  modalContent: css`
-    flex: 1;
-    display: flex;
-    flex-direction: column;
-  `,
-  modalAlert: css`
-    flex-grow: 0;
-  `,
-});
+const getPickerStyles = (theme: GrafanaTheme2) => {
+  const clearButton = clearButtonStyles(theme);
+
+  return {
+    container: css`
+      display: grid;
+      grid-template-columns: 1fr 1fr;
+      grid-template-rows: min-content auto;
+      gap: ${theme.spacing(2)};
+      flex: 1;
+    `,
+    column: css`
+      flex: 1 1 auto;
+    `,
+    dashboardTitle: css`
+      height: 22px;
+      font-weight: ${theme.typography.fontWeightBold};
+    `,
+    dashboardFolder: css`
+      height: 20px;
+      font-size: ${theme.typography.bodySmall.fontSize};
+      color: ${theme.colors.text.secondary};
+      display: flex;
+      flex-direction: row;
+      justify-content: flex-start;
+      column-gap: ${theme.spacing(1)};
+      align-items: center;
+    `,
+    rowButton: css`
+      ${clearButton};
+      padding: ${theme.spacing(0.5)};
+      overflow: hidden;
+      text-overflow: ellipsis;
+      text-align: left;
+      white-space: nowrap;
+      cursor: pointer;
+      border: 2px solid transparent;
+
+      &:disabled {
+        cursor: not-allowed;
+        color: ${theme.colors.text.disabled};
+      }
+    `,
+    rowButtonTitle: css`
+      text-overflow: ellipsis;
+      overflow: hidden;
+    `,
+    rowSelected: css`
+      border-color: ${theme.colors.primary.border};
+    `,
+    rowOdd: css`
+      background-color: ${theme.colors.background.secondary};
+    `,
+    panelButton: css`
+      display: flex;
+      gap: ${theme.spacing(1)};
+      justify-content: space-between;
+      align-items: center;
+    `,
+    loadingPlaceholder: css`
+      height: 100%;
+      display: flex;
+      justify-content: center;
+      align-items: center;
+    `,
+    selectDashboardPlaceholder: css`
+      width: 100%;
+      height: 100%;
+      display: flex;
+      flex-direction: column;
+      justify-content: center;
+      text-align: center;
+      font-weight: ${theme.typography.fontWeightBold};
+    `,
+    modal: css`
+      height: 100%;
+    `,
+    modalContent: css`
+      flex: 1;
+      display: flex;
+      flex-direction: column;
+    `,
+    modalAlert: css`
+      flex-grow: 0;
+    `,
+    warnIcon: css`
+      fill: ${theme.colors.warning.main};
+    `,
+  };
+};