diff --git a/scripts/install.ps1 b/scripts/install.ps1
index 73cbecdfd..4b9412fb3 100644
--- a/scripts/install.ps1
+++ b/scripts/install.ps1
@@ -1,7 +1,7 @@
 param (
-    [Parameter(Mandatory)]
+    [Parameter()]
     $observe_collection_endpoint, 
-    [Parameter(Mandatory)]
+    [Parameter()]
     $observe_token
 )
 
@@ -25,19 +25,30 @@ if((Get-Service ObserveAgent -ErrorAction SilentlyContinue)){
 
 Expand-Archive -Force -LiteralPath $local_installer -DestinationPath "$temp_dir\observe-agent_Windows_x86_64"
 Copy-Item -Force -Path $temp_dir\observe-agent_Windows_x86_64\observe-agent.exe -Destination $observeagent_install_dir
-Copy-Item -Force -Path $temp_dir\observe-agent_Windows_x86_64\observe-agent.yaml -Destination $observeagent_install_dir
 Copy-Item -Force -Path $temp_dir\observe-agent_Windows_x86_64\otel-collector.yaml -Destination $observeagent_install_dir\config\otel-collector.yaml
 Copy-Item -Force -Path $temp_dir\observe-agent_Windows_x86_64\connections\ -Destination $observeagent_install_dir\connections -Recurse
 
-# Read the content of the config.yaml file
-$configContent = Get-Content -Path $observeagent_install_dir\observe-agent.yaml -Raw
+# If there's already an observe-agent.yaml we don't copy the template from the downloaded installation package and leave existing observe-agent.yaml alone
+if (-Not (Test-Path "$observeagent_install_dir\observe-agent.yaml"))
+{
+    Copy-Item -Force -Path $temp_dir\observe-agent_Windows_x86_64\observe-agent.yaml -Destination $observeagent_install_dir
 
-# Replace ${myhost} with the actual value
-$configContent = $configContent -replace '\${OBSERVE_COLLECTION_ENDPOINT}', $observe_collection_endpoint
-$configContent = $configContent -replace '\${OBSERVE_TOKEN}', $observe_token
+    # We can only insert param templates if there's no existing config and we're copying over the template observe-agent.yaml
+    $configContent = Get-Content -Path $observeagent_install_dir\observe-agent.yaml -Raw
 
-# Write the modified content back to the config.yaml file
-$configContent | Set-Content -Path $observeagent_install_dir\observe-agent.yaml
+    # Replace $OBSERVE_COLLECTION_ENDPOINT and $OBSERVE_TOKEN with param if provided
+    if($PSBoundParameters.ContainsKey('observe_collection_endpoint'))
+    {
+        $configContent = $configContent -replace '\${OBSERVE_COLLECTION_ENDPOINT}', $observe_collection_endpoint
+    }
+    if($PSBoundParameters.ContainsKey('observe_token'))
+    {
+        $configContent = $configContent -replace '\${OBSERVE_TOKEN}', $observe_token
+    }
+
+    # Write the modified content back to the config.yaml file
+    $configContent | Set-Content -Path $observeagent_install_dir\observe-agent.yaml
+}
 
 if(-not (Get-Service ObserveAgent -ErrorAction SilentlyContinue)){
     $params = @{