diff --git a/internal/jsonrpc2/conn.go b/internal/jsonrpc2/conn.go
index 4994c63b..c7c08ecd 100644
--- a/internal/jsonrpc2/conn.go
+++ b/internal/jsonrpc2/conn.go
@@ -681,6 +681,13 @@ func (c *Connection) handleAsync() {
 		releaser := &releaser{ch: make(chan struct{})}
 		ctx := context.WithValue(req.ctx, asyncKey, releaser)
 		go func() {
+			defer func() {
+				if r := recover(); r != nil {
+					// A panicking handler must not take down the connection or the
+					// process; reply with an internal error instead.
+					c.processResult(c.handler, req, nil, fmt.Errorf("%w: %v", ErrPanic, r))
+				}
+			}()
 			defer releaser.release(true)
 			result, err := c.handler.Handle(ctx, req.Request)
 			c.processResult(c.handler, req, result, err)
@@ -694,6 +701,11 @@ func (c *Connection) processResult(from any, req *incomingRequest, result any, e
 	if nomethodnotfoundcodeinerror != "1" && (errors.Is(err, ErrNotHandled) || errors.Is(err, ErrMethodNotFound)) {
 		err = fmt.Errorf("%w: %q", ErrMethodNotFound, req.Method)
 	}
+	if errors.Is(err, ErrPanic) {
+		// A panic recovered from the handler is reported as an internal error
+		// rather than a bare error, so the wire error carries code -32603.
+		err = fmt.Errorf("%w: %v", ErrInternal, err)
+	}
 
 	if result != nil && err != nil {
 		c.internalErrorf("%#v returned a non-nil result with a non-nil error for %s:\n%v\n%#v", from, req.Method, err, result)
diff --git a/internal/jsonrpc2/jsonrpc2.go b/internal/jsonrpc2/jsonrpc2.go
index 76a51161..3426106a 100644
--- a/internal/jsonrpc2/jsonrpc2.go
+++ b/internal/jsonrpc2/jsonrpc2.go
@@ -19,6 +19,13 @@ import (
 // ErrMethodNotFound.
 var ErrNotHandled = errors.New("JSON RPC not handled")
 
+// ErrPanic is returned when a Handler panics while handling a request.
+//
+// If a Handler panics, the server replies with ErrInternal instead of
+// terminating the connection, so that a single misbehaving request cannot
+// take down the whole server.
+var ErrPanic = errors.New("JSON RPC panic")
+
 // Preempter handles messages on a connection before they are queued to the main
 // handler.
 // Primarily this is used for cancel handlers or notifications for which out of
diff --git a/mcp/error_test.go b/mcp/error_test.go
index 2b68d75e..3c6164a3 100644
--- a/mcp/error_test.go
+++ b/mcp/error_test.go
@@ -15,6 +15,42 @@ import (
 	"github.com/modelcontextprotocol/go-sdk/jsonrpc"
 )
 
+// TestServerToolPanic verifies that a panicking tool handler is contained:
+// the client receives an internal error and the connection remains usable.
+func TestServerToolPanic(t *testing.T) {
+	ctx := context.Background()
+
+	cs, _, _ := basicConnection(t, func(s *Server) {
+		AddTool(s, &Tool{Name: "boom", Description: "panics"}, func(context.Context, *CallToolRequest, map[string]any) (*CallToolResult, any, error) {
+			var slice []int
+			_ = slice[42] // panic: index out of range
+			return nil, nil, nil
+		})
+		AddTool(s, &Tool{Name: "ok", Description: "works"}, func(context.Context, *CallToolRequest, map[string]any) (*CallToolResult, any, error) {
+			return &CallToolResult{Content: []Content{&TextContent{Text: "fine"}}}, nil, nil
+		})
+	})
+
+	// The panicking tool must produce an internal error rather than
+	// killing the server process.
+	_, err := cs.CallTool(ctx, &CallToolParams{Name: "boom", Arguments: map[string]any{}})
+	if err == nil {
+		t.Fatal("CallTool(boom) = nil error, want internal error")
+	}
+	var rpcErr *jsonrpc.Error
+	if !errors.As(err, &rpcErr) {
+		t.Fatalf("CallTool(boom) error = %v, want *jsonrpc.Error", err)
+	}
+	if rpcErr.Code != jsonrpc.CodeInternalError {
+		t.Errorf("CallTool(boom) error code = %d, want %d", rpcErr.Code, jsonrpc.CodeInternalError)
+	}
+
+	// The connection must survive the panic: a subsequent call succeeds.
+	if _, err := cs.CallTool(ctx, &CallToolParams{Name: "ok", Arguments: map[string]any{}}); err != nil {
+		t.Errorf("CallTool(ok) after panic = %v, want nil", err)
+	}
+}
+
 // TestServerErrors validates that the server returns appropriate error codes
 // for various invalid requests.
 func TestServerErrors(t *testing.T) {