diff --git a/lbry/tests/integration/test_wallet_server_sessions.py b/lbry/tests/integration/test_wallet_server_sessions.py
index 0ba1914cf..5302d75f0 100644
--- a/lbry/tests/integration/test_wallet_server_sessions.py
+++ b/lbry/tests/integration/test_wallet_server_sessions.py
@@ -61,7 +61,7 @@ class TestSessionBloat(IntegrationTestCase):
         def delayed_resume():
             self.paused_session.clear()
 
-            time.sleep(1)
+            time.sleep(0.9)
             self.resumed_session.set()
 
         self.client_session.pause_writing = wrap_callback_event(self.client_session.pause_writing, paused)
diff --git a/torba/tests/client_tests/integration/test_reconnect.py b/torba/tests/client_tests/integration/test_reconnect.py
index 0be16e012..90b122176 100644
--- a/torba/tests/client_tests/integration/test_reconnect.py
+++ b/torba/tests/client_tests/integration/test_reconnect.py
@@ -1,5 +1,6 @@
 import logging
 import asyncio
+import socket
 from unittest.mock import Mock
 
 from torba.client.basenetwork import BaseNetwork
@@ -42,6 +43,51 @@ class ReconnectTests(IntegrationTestCase):
         await self.ledger.network.on_connected.first
         self.assertTrue(self.ledger.network.is_connected)
 
+    async def test_socket_timeout_then_reconnect(self):
+        # TODO: test reconnecting on an rpc request
+        # TODO: test rolling over to a working server when an rpc request fails before raising
+
+        self.assertTrue(self.ledger.network.is_connected)
+
+        await self.assertBalance(self.account, '0.0')
+
+        address1 = await self.account.receiving.get_or_create_usable_address()
+
+        real_sock = self.ledger.network.client.transport._extra.pop('socket')
+        mock_sock = Mock(spec=socket.socket)
+
+        for attr in dir(real_sock):
+            if not attr.startswith('__'):
+                setattr(mock_sock, attr, getattr(real_sock, attr))
+
+        raised = asyncio.Event(loop=self.loop)
+
+        def recv(*a, **kw):
+            raised.set()
+            raise TimeoutError("[Errno 60] Operation timed out")
+
+        mock_sock.recv = recv
+        self.ledger.network.client.transport._sock = mock_sock
+        self.ledger.network.client.transport._extra['socket'] = mock_sock
+
+        await self.blockchain.send_to_address(address1, 21)
+        await self.blockchain.generate(1)
+        self.assertFalse(raised.is_set())
+
+        await asyncio.wait_for(raised.wait(), 2)
+        await self.assertBalance(self.account, '0.0')
+        self.assertFalse(self.ledger.network.is_connected)
+        self.assertIsNone(self.ledger.network.client.transport)
+
+        await self.blockchain.send_to_address(address1, 21)
+        await self.blockchain.generate(1)
+        await self.ledger.network.on_connected.first
+        self.assertTrue(self.ledger.network.is_connected)
+
+        await asyncio.sleep(30, loop=self.loop)
+        self.assertIsNotNone(self.ledger.network.client.transport)
+        await self.assertBalance(self.account, '42.0')
+
 
 class ServerPickingTestCase(AsyncioTestCase):
     async def _make_fake_server(self, latency=1.0, port=1337):
diff --git a/torba/torba/client/basenetwork.py b/torba/torba/client/basenetwork.py
index 1ed55a51f..d98222b05 100644
--- a/torba/torba/client/basenetwork.py
+++ b/torba/torba/client/basenetwork.py
@@ -55,9 +55,25 @@ class ClientSession(BaseClientSession):
             self.ping_task.cancel()
 
 
+def protocol_exception_handler(loop: asyncio.AbstractEventLoop, context):
+    exception = context['exception']
+    if 'protocol' not in context or 'transport' not in context:
+        raise exception
+    if not isinstance(context['protocol'], ClientSession):
+        raise exception
+    transport: asyncio.Transport = context['transport']
+    message = context['message']
+    if message not in ("Fatal read error on socket transport", "Fatal write error on socket transport"):
+        raise exception
+    log.warning("Disconnecting after error: %s", str(exception))
+    transport.abort()
+    transport.close()
+
+
 class BaseNetwork:
 
     def __init__(self, ledger):
+        asyncio.get_event_loop().set_exception_handler(protocol_exception_handler)
         self.config = ledger.config
         self.client: ClientSession = None
         self.session_pool: SessionPool = None