diff --git a/run.js b/run.js
index 74b1a93..f3997f0 100644
--- a/run.js
+++ b/run.js
@@ -5,15 +5,20 @@ function run(generator, callback) {
   var iterator = generator(resume);
   var data = null, yielded = false;
 
-  var next = callback ? nextSafe : nextPlain;
-  
+  if (!callback) callback = function (err) {
+    // If the generator ended with an error, throw it globally with setTimeout.
+    // Throwing locally from a callback is not allowed, and swallowing the
+    // error is a bad idea, so there's no better option.
+    if (err) setTimeout(function () { throw err; }, 0);
+  };
+
   next();
   check();
   
-  function nextSafe(item) {
+  function next(err, item) {
     var n;
     try {
-      n = iterator.next(item);
+      n = (err ? iterator.throw(err) : iterator.next(item));
       if (!n.done) {
         if (typeof n.value === "function") n.value(resume());
         yielded = true;
@@ -25,13 +30,6 @@ function run(generator, callback) {
     }
     return callback(null, n.value);
   }
-
-  function nextPlain(item) {
-    var cont = iterator.next(item).value;
-    // Pass in resume to continuables if one was yielded.
-    if (typeof cont === "function") cont(resume());
-    yielded = true;
-  }
   
   function resume() {
     var done = false;
@@ -49,8 +47,7 @@ function run(generator, callback) {
       var item = data[1];
       data = null;
       yielded = false;
-      if (err) return iterator.throw(err);
-      next(item);
+      next(err, item);
       yielded = true;
     }
   }
diff --git a/test.js b/test.js
index 32bde81..fa5eaa0 100644
--- a/test.js
+++ b/test.js
@@ -70,7 +70,7 @@ function *run_with_callback(gen) {
   console.log("Callback");
   yield run(function* (gen) {
     yield sleep(1000);
-    return "Hello"
+    return "Hello";
   }, function (err, value) {
     console.log("Callback err: " + err);
     console.log("Callback value: " + value);
@@ -102,7 +102,25 @@ function *run_with_callback_early_exception(gen) {
     console.log("Callback value: " + value);
     gen()(null, value); // Intentionally suppress the error
   });
-  console.log("End");
+  testRun("run_with_thrown_error", run_with_thrown_error);
+}
+
+function *run_with_thrown_error(gen) {
+  var inCatch = false;
+  try {
+    yield sleep(1);
+    yield fail();
+    console.error("this should not happen!");
+  }
+  catch (err) {
+    console.log("in catch: " + err);
+    console.assert(err);
+    inCatch = true;
+  }
+  yield sleep(1);
+  console.log("yielded after catch");
+  console.assert(inCatch);
+  console.log("\nEnd");
 }
 
 function sleep(ms) {
@@ -117,7 +135,13 @@ function evil() {
     setTimeout(function () {
       callback(null, 2);
     }, 100);
-  }
+  };
+}
+
+function fail() {
+  return function (callback) {
+    callback(Error("throwing error into generator"));
+  };
 }
 
 function decrement(n) {