A continuity tester that has particular application for inspecting the insulation on the stator windings in an electric machine. The continuity tester includes a power supply, a brush having conductive bristles, and an analog-to-digital (A/D) converter. One terminal of the power supply is electrically coupled to the brush and another terminal of the power supply is electrically coupled to the A/D converter and the stator being tested. The conductive brush is selectively positioned against the exposed windings of the stator, and if an electrical circuit is formed as a result of loss of insulation, the potential at the input of the A/D converter drops, which can be detected. In one embodiment, the conductive brush is a manual brush that is moved across the stator windings, and in alternate embodiments the conductive brush is specially configured to be positioned against the conductive windings in an automated process.