For terminal crimping, we not only inspect the conductor crimping, also need to inspect the insulation crimping area, because good insulation crimping area provides good bending resistance for the terminals, it reduce the conductor/terminal broken or fall off risk.
Below is the IPC-A-620 criteria for the insulation crimping quality inspection.
Target - Class 1,2,3
• Insulation and conductor transition line centered within the
inspection window.

Acceptable - Class 1
Process Indicator - Class 2,3
• Insulation is flush with but does not enter the wire crimp area
(1).
• Insulation is flush with the inspection window edge of the
insulation crimp tabs and does not enter the inspection window
area (2).

Acceptable - Class 2,3
• Both insulation and conductor are visible within the inspection
window.

Defect - Class 1,2,3
• Insulation extends into conductor crimp area (Figure 5-19,
arrow points to end of insulation within the crimp area).
• Insulation and conductor transition line is within insulation
crimp area (Figure 5-20, arrow points to end of insulation
within the crimp area).







