Preheat Air Fryer: Set your air fryer to 350°F (175°C) and allow it to preheat for a few minutes.
Mix the Ingredients: In a large bowl, combine ground beef, green bell pepper, seasoned breadcrumbs, diced onions, milk, Parmesan cheese, fresh parsley, garlic, egg yolk, Italian seasoning, salt, and pepper. Mix until just combined. Be careful not to overmix to avoid a dense texture.
Shape the Loaves: Divide the mixture into two smaller loaves, about 5 inches long and 2 inches wide.
Cook the Meatloaf: Place the meatloaves in the air fryer basket. Air fry for 20 minutes.
Prepare the Topping: While the meatloaf is cooking, combine the tomato sauce and chili sauce in a small bowl.
Add the Topping: After 20 minutes, carefully add the sauce mixture on top of the meatloaves.
Finish Cooking: Air fry for an additional 5-7 minutes or until the internal temperature reaches 165°F (74°C).
Rest: Let the meatloaf rest for 5 minutes before slicing.