A varistor comprises a varistor element body, first and second inner electrodes opposing each other, a first outer electrode connected to the first inner electrode physically and electrically, a second outer electrode connected to the second inner electrode physically and electrically, and an electrically insulating layer. The first and second inner electrodes are arranged within the varistor element body so as to have end portions exposed at two outer surfaces of the varistor element body. The first outer electrode is arranged on one of the two outer surfaces so as to cover a portion of the end portion of the first inner electrode exposed at the one outer surface. The second outer electrode is arranged on the one outer surface so as to cover a portion of the end portion of the second inner electrode exposed at the one outer surface. The electrically insulating layer is arranged on the one outer surface so as to cover a portion exposed from the first outer electrode in the end portion of the first inner electrode and a portion exposed from the second outer electrode in the end portion of the second inner electrode.