diff --git a/src/services/refactors/extractSymbol.ts b/src/services/refactors/extractSymbol.ts
index 5f42cbd270a..f797399bc8b 100644
--- a/src/services/refactors/extractSymbol.ts
+++ b/src/services/refactors/extractSymbol.ts
@@ -437,6 +437,7 @@ namespace ts.refactor.extractSymbol {
                             permittedJumps = PermittedJumps.Return;
                         }
                         break;
+                    case SyntaxKind.DefaultClause:
                     case SyntaxKind.CaseClause:
                         // allow unlabeled break inside case clauses
                         permittedJumps |= PermittedJumps.Break;
diff --git a/tests/cases/fourslash/extract-method31.ts b/tests/cases/fourslash/extract-method31.ts
new file mode 100644
index 00000000000..6d6e007677d
--- /dev/null
+++ b/tests/cases/fourslash/extract-method31.ts
@@ -0,0 +1,38 @@
+/// <reference path='fourslash.ts' />
+
+//// /*start*/let value: string;
+//// switch (Date.now()) {
+////     case 1:
+////         value = 'foo';
+////         break;
+////     default:
+////         value = 'bar';
+////         break;
+//// }/*end*/
+////
+//// console.log(value);
+
+goTo.select("start", "end");
+edit.applyRefactor({
+  refactorName: "Extract Symbol",
+  actionName: "function_scope_0",
+  actionDescription: "Extract to function in global scope",
+  newContent:
+`let value: string = /*RENAME*/newFunction();
+
+console.log(value);
+
+function newFunction() {
+    let value: string;
+    switch (Date.now()) {
+        case 1:
+            value = 'foo';
+            break;
+        default:
+            value = 'bar';
+            break;
+    }
+    return value;
+}
+`
+});