Pat the chicken dry with paper towels, then season it liberally with salt and pepper.
Place a large Dutch oven or heavy pot over medium-high heat and add the olive oil. When the oil is hot, sear the chicken on all sides until it's browned, about 7-8 minutes total. Work in batches if necessary. Transfer to a plate and set aside.
Return the Dutch oven to medium-high heat and add the chorizo. Sear the chorizo until it's brown and rendering its fat, about 2-3 minutes.
Add the onion and bell peppers to the chorizo and sauté until softened and translucent, about 5 minutes. Stir frequently to avoid burning.
Add the garlic, thyme, paprika, cumin, and bay leaves and cook for 1 minute, stirring constantly.
Deglaze by pouring in the dry wine and scraping off anything stuck to the bottom of the pan. When the wine has reduced by half, stir in the chicken stock, tomatoes, and tomato paste.
Add the browned chicken to the stew, then bring it to a boil. Turn the heat down and simmer covered until the chicken has an internal temperature of 175°F (79°C), about 50 minutes.
If the sauce is thinner than you'd like, remove the chicken and increase the heat to medium-high. Let the sauce reduce further, stirring frequently, until it's thickened.
Stir in the sliced olives, chorizo, and cooked chicken (if you removed it) and cook until heated through.
Serve the stew hot with rice, potatoes, bread, or salad and enjoy.