diff --git a/stdlib/builtins.pyi b/stdlib/builtins.pyi
@@ -986,8 +986,12 @@ class list(MutableSequence[_T], Generic[_T]):
     @overload
     def __setitem__(self, __s: slice, __o: Iterable[_T]) -> None: ...
     def __delitem__(self, __i: SupportsIndex | slice) -> None: ...
+    # Overloading looks unnecessary, but is needed to work around complex mypy problems
+    @overload
     def __add__(self, __x: list[_T]) -> list[_T]: ...
-    def __iadd__(self: Self, __x: Iterable[_T]) -> Self: ...
+    @overload
+    def __add__(self, __x: list[_S]) -> list[_S | _T]: ...
+    def __iadd__(self: Self, __x: Iterable[_T]) -> Self: ...  # type: ignore[misc]
     def __mul__(self, __n: SupportsIndex) -> list[_T]: ...
     def __rmul__(self, __n: SupportsIndex) -> list[_T]: ...
     def __imul__(self: Self, __n: SupportsIndex) -> Self: ...

diff --git a/test_cases/stdlib/builtins/test_list.py b/test_cases/stdlib/builtins/test_list.py
@@ -0,0 +1,19 @@
+from typing import List, Union
+from typing_extensions import assert_type
+
+
+# list.__add__ example from #8292
+class Foo:
+    def asd(self) -> int:
+        return 1
+
+
+class Bar:
+    def asd(self) -> int:
+        return 2
+
+
+combined = [Foo()] + [Bar()]
+assert_type(combined, List[Union[Foo, Bar]])
+for item in combined:
+    assert_type(item.asd(), int)