diff --git a/packages/playwright-core/src/tools/backend/browserBackend.ts b/packages/playwright-core/src/tools/backend/browserBackend.ts
index b769738fded92..28dea5d908cbf 100644
--- a/packages/playwright-core/src/tools/backend/browserBackend.ts
+++ b/packages/playwright-core/src/tools/backend/browserBackend.ts
@@ -29,12 +29,16 @@ export class BrowserBackend implements ServerBackend {
   private _context: Context | undefined;
   private _sessionLog: SessionLog | undefined;
   private _config: ContextConfig;
+  private _disconnected = false;
   readonly browserContext: playwright.BrowserContext;
 
   constructor(config: ContextConfig, browserContext: playwright.BrowserContext, tools: Tool[]) {
     this._config = config;
     this._tools = tools;
     this.browserContext = browserContext;
+    const markDisconnected = () => { this._disconnected = true; };
+    this.browserContext.once('close', markDisconnected);
+    this.browserContext.browser()?.once('disconnected', markDisconnected);
   }
 
   async initialize(clientInfo: ClientInfo): Promise<void> {
@@ -50,7 +54,7 @@ export class BrowserBackend implements ServerBackend {
     await this._context?.dispose().catch(e => debug('pw:tools:error')(e));
   }
 
-  async callTool(name: string, rawArguments: mcpServer.CallToolRequest['params']['arguments'] & { _meta?: Record<string, any> } = {}, signal?: AbortSignal): Promise<mcpServer.CallToolResult> {
+  async callTool(name: string, rawArguments: mcpServer.CallToolRequest['params']['arguments'] & { _meta?: Record<string, any> } = {}, signal?: AbortSignal): Promise<mcpServer.CallToolResult & { isClose?: boolean }> {
     const json = !!rawArguments._meta?.json;
     const formatError = (message: string): mcpServer.CallToolResult => ({
       content: [{ type: 'text' as const, text: json ? JSON.stringify({ isError: true, error: message }, null, 2) : `### Error\n${message}` }],
@@ -66,7 +70,7 @@ export class BrowserBackend implements ServerBackend {
     const context = this._context!;
     const response = new Response(context, name, parsedArguments, { relativeTo: cwd, raw, json });
     context.setRunningTool(name);
-    let responseObject: mcpServer.CallToolResult;
+    let responseObject: mcpServer.CallToolResult & { isClose?: boolean };
     try {
       await tool.handle(context, parsedArguments, response, signal);
       for (const reason of context.drainPendingUnhandledRejections())
@@ -75,10 +79,12 @@ export class BrowserBackend implements ServerBackend {
       this._sessionLog?.logResponse(name, parsedArguments, responseObject);
     } catch (error: any) {
       const messages = [String(error), ...context.drainPendingUnhandledRejections().map(formatRejectionReason)];
-      return formatError(messages.join('\n\n'));
+      responseObject = formatError(messages.join('\n\n'));
     } finally {
       context.setRunningTool(undefined);
     }
+    if (this._disconnected)
+      responseObject.isClose = true;
     return responseObject;
   }
 }
diff --git a/tests/mcp/cdp.spec.ts b/tests/mcp/cdp.spec.ts
index 0fbada3211de3..fbfe60f09134a 100644
--- a/tests/mcp/cdp.spec.ts
+++ b/tests/mcp/cdp.spec.ts
@@ -83,6 +83,40 @@ test('should throw connection error and allow re-connecting', async ({ cdpServer
   });
 });
 
+test('auto-recover when remote browser disconnects mid-session', async ({ cdpServer, startClient, server }) => {
+  const browserContext = await cdpServer.start();
+  const { client } = await startClient({ args: [`--cdp-endpoint=${cdpServer.endpoint}`] });
+
+  expect(await client.callTool({
+    name: 'browser_navigate',
+    arguments: { url: server.HELLO_WORLD },
+  })).toHaveResponse({
+    snapshot: expect.stringContaining(`Hello, world!`),
+  });
+
+  // Simulate the remote browser dying mid-session (e.g. CDP endpoint session timeout).
+  await browserContext.close();
+
+  // The next call hits the dead backend; it must error and let the MCP server discard
+  // the backend so the next call can transparently establish a fresh connection.
+  expect(await client.callTool({
+    name: 'browser_navigate',
+    arguments: { url: server.HELLO_WORLD },
+  })).toHaveResponse({
+    isError: true,
+  });
+
+  // Bring the CDP endpoint back. The next call should reconnect transparently —
+  // no manual browser_close needed (regression test for playwright-mcp#1588).
+  await cdpServer.start();
+  expect(await client.callTool({
+    name: 'browser_navigate',
+    arguments: { url: server.HELLO_WORLD },
+  })).toHaveResponse({
+    snapshot: expect.stringContaining(`Hello, world!`),
+  });
+});
+
 test('does not support --device', async () => {
   const result = spawnSync('node', [
     ...mcpServerPath, '--device=Pixel 5', '--cdp-endpoint=http://localhost:1234',
diff --git a/tests/mcp/fixtures.ts b/tests/mcp/fixtures.ts
index a47f9d7e14b4b..9793b65205ade 100644
--- a/tests/mcp/fixtures.ts
+++ b/tests/mcp/fixtures.ts
@@ -169,7 +169,7 @@ export const test = serverTest.extend<TestFixtures & TestOptions, WorkerFixtures
     await use({
       endpoint: `http://localhost:${port}`,
       start: async () => {
-        if (browserContext)
+        if (browserContext && browserContext.browser()?.isConnected())
           throw new Error('CDP server already exists');
         browserContext = await chromium.launchPersistentContext(testInfo.outputPath('cdp-user-data-dir'), {
           channel: mcpBrowser,
@@ -181,7 +181,7 @@ export const test = serverTest.extend<TestFixtures & TestOptions, WorkerFixtures
         return browserContext;
       }
     });
-    await browserContext?.close();
+    await browserContext?.close().catch(() => {});
   },
 
   mcpHeadless: async ({ headless }, use) => {