The focus of this paper is the continuous turning of hardened AISI 52100 (∼63HRc) using coated and uncoated ceramic Al2O3–TiCN mixed inserts, which are cheaper than cubic boron nitride (CBN) or polycrystalline cubic boron nitride (PCBN). The machinability of hardened steel was evaluated by measurements of tool wear, tool life, and surface finish of the workpiece. Wear mechanisms and patterns of ceramic inserts in hard turning of hardened AISI 52100 are discussed. According to the results obtained, fracture and chipping type damages occur more frequently in uncoated tools, whereas crater wear is the more common type of damage in TiN coated tools. Most important result obtained from the study is that TiN coating and crater wear affect chip flow direction. In uncoated ceramic tool, the crater formation results in decrease of chip up-curl radius. Besides, uncoated cutting tool results in an increase in the temperature at the tool chip interface. This causes a thermal bi-metallic effect between the upper and lower sides of the chip that forces the chip to curl a smaller radius. Chips accumulate in front of the tool and stick to the workpiece depending on the length of the cutting time. This causes the surface quality to deteriorate. TiN coating not only ensures that the cutting tool is tougher, but also ensures that the surface quality is maintained during cutting processes.