A process for remediating the insulating properties of magnet wire insulation is described. Magnet wire, used in electric motors and other electrical devices, comprises an electrically-conductive core covered by a thin insulating layer. The insulating layer may be damaged or compromised during manufacture or service. A process for incorporating polymerizable materials, sequestered in microcapsules, within the insulating layer is described. When the insulating layer is subjected to conditions sufficient to compromise its insulating character, the microcapsules fracture and release their contents which then polymerize and re-establish the insulating properties of the layer.