Preheat the oven to 375°F (190°C).
Lightly grease a 9x13-inch baking dish with cooking spray.
In the baking dish, whisk together the cream of chicken soup, chicken broth, sour cream, melted butter (if using), garlic, onion powder, paprika, thyme, salt, and pepper until smooth.
Stir in the uncooked rice and frozen mixed vegetables so everything is evenly distributed.
Add the chicken pieces to the dish and stir to coat. Make sure the chicken and rice are mostly submerged in the liquid for even cooking.
Fold in 1 cup shredded cheddar.
Cover the dish tightly with foil. This is crucial to trap steam and cook the rice properly.
Bake for 45 minutes.
Carefully remove the foil, stir the casserole, and check the rice.
If using a crunchy topping, mix the crushed crackers or panko with a little melted butter. Sprinkle over the top with an extra handful of cheese, if you like.
Return to the oven, uncovered, and bake for another 10–15 minutes, until the rice is tender, the chicken is cooked through, and the top is lightly golden. Total time is about 55–60 minutes.
Let it rest for 5–10 minutes before serving.
This helps the sauce thicken and the rice settle.
Taste and adjust seasoning with a pinch of salt, pepper, or extra paprika. Garnish with chopped parsley if you want a fresh pop of color.