diff --git a/inference-engine/src/gna_plugin/backend/make_pwl.cpp b/inference-engine/src/gna_plugin/backend/make_pwl.cpp
index 597ab304200d43..6c3c3433b08e21 100644
--- a/inference-engine/src/gna_plugin/backend/make_pwl.cpp
+++ b/inference-engine/src/gna_plugin/backend/make_pwl.cpp
@@ -6,12 +6,58 @@
 #include <iostream>
 #include <cmath>
 
-#include <runtime/pwl.h>
-#include <gna_slope_scale.h>
+#include "runtime/pwl.h"
+#include "gna_slope_scale.h"
 #include "dnn_types.h"
 #include "backend/gna_types.h"
 #include "round_float_define.hpp"
 
+
+// This function performes emulatation of HW saturation of PWL segments in SW
+// by inserting additional segments when overflow would happen
+static void insert_extra_pwl_segments(std::vector<gna_pwl_segment_t>& gna_pwl,
+    const int16_t y_min,
+    const int16_t y_max) {
+    std::map<size_t, gna_pwl_segment_t> extra_segments;
+    gna_pwl_segment_t extra_segment;
+    size_t gna_pwl_size = gna_pwl.size();
+
+    if (gna_pwl_size == 0)
+        return;
+
+    // We're adding a segment at the beginning if the first one doesn't cover min value
+    if ((gna_pwl[0].xBase & XBASEMASK) != INT32_MIN) {
+        extra_segment.xBase = INT32_MIN & XBASEMASK;
+        extra_segment.yBase = gna_pwl[0].yBase;
+        extra_segment.slope = 0;
+        extra_segments[0] = extra_segment;
+    }
+
+    // We're checking here if saturation could potentially happen at the trailing segments
+    if (gna_pwl[gna_pwl_size - 1].slope != 0) {
+        int16_t slope = gna_pwl[gna_pwl_size - 1].slope;
+        int32_t xBase = gna_pwl[gna_pwl_size - 1].xBase & XBASEMASK;
+        int16_t yBase = gna_pwl[gna_pwl_size - 1].yBase;
+        float scale = pow(2, ((gna_pwl[gna_pwl_size - 1].xBase & ~XBASEMASK) + 1) * 8);
+        float y_value = ((static_cast<float>(INT32_MAX) - xBase) * slope) / scale + yBase;
+
+        if (y_value > static_cast<float>(INT16_MAX) || y_value < static_cast<float>(INT16_MIN)) {
+            float x_value = ((static_cast<float>(y_max) - yBase) * scale) / slope + xBase;
+            extra_segment.xBase = FLOAT_TO_INT32(x_value) & XBASEMASK;
+            extra_segment.yBase = slope > 0 ? y_max : y_min;
+            extra_segment.slope = 0;
+            extra_segments[gna_pwl_size] = extra_segment;
+        }
+    }
+
+    if (!extra_segments.empty())
+        gnalog() << "Additional segment(s) added to protect against saturation\n";
+
+    for (auto i = extra_segments.rbegin(); i != extra_segments.rend(); i++) {
+        gna_pwl.insert(gna_pwl.begin() + i->first, i->second);
+    }
+}
+
 void make_gna_pwl(const DnnActivation  fun,
                   const std::vector<pwl_t>& pwl,
                   const double l_bound,
@@ -583,6 +629,7 @@ void make_gna_pwl(const DnnActivation  fun,
         }
         default:
             gnalog() << "Unexpected function activation!\n";
-            std::cerr << "Unexpected function activation!\n";
+            THROW_GNA_EXCEPTION << "Unexpected function activation!" << fun;
     }
+    insert_extra_pwl_segments(gna_pwl, y_min, y_max);
 }
diff --git a/inference-engine/src/gna_plugin/backend/make_pwl.hpp b/inference-engine/src/gna_plugin/backend/make_pwl.hpp
index 62d95210906d18..5cc879d75ec65a 100644
--- a/inference-engine/src/gna_plugin/backend/make_pwl.hpp
+++ b/inference-engine/src/gna_plugin/backend/make_pwl.hpp
@@ -5,9 +5,7 @@
 #pragma once
 
 #include <vector>
-#include <runtime/pwl.h>
-#include "backend/gna_types.h"
-
+#include "runtime/pwl.h"
 
 void make_gna_pwl(const DnnActivation  fun,
                   const std::vector<pwl_t>& pwl,
diff --git a/inference-engine/src/gna_plugin/runtime/pwl.cpp b/inference-engine/src/gna_plugin/runtime/pwl.cpp
index 3cd5238eba658e..89796fbb0cf8a6 100644
--- a/inference-engine/src/gna_plugin/runtime/pwl.cpp
+++ b/inference-engine/src/gna_plugin/runtime/pwl.cpp
@@ -9,11 +9,10 @@
 #include <limits>
 #include <cstdint>
 #include <algorithm>
-#include "backend/gna_types.h"
 
 #ifdef _NO_MKL_
 #include <cmath>
-#include <backend/make_pwl.hpp>
+#include "backend/make_pwl.hpp"
 
 #define SCOPY(num, in, inci, out, inco) for (int i_ = 0; i_ < *(num); i_++) *(out + i_ * *(inco)) = *(in + i_ * *(inci));
 #define SSCAL(num, scale, inout, inco)  for (int i_ = 0; i_ < *(num); i_++) *(inout + i_ * *(inco)) = *(scale) * *(inout + i_ * *(inco));
@@ -27,7 +26,6 @@
 
 #include "pwl.h"
 #include "gna_plugin_log.hpp"
-#include "backend/dnn_types.h"
 #include "gna_slope_scale.h"
 #include "round_float_define.hpp"