The work is focused on the study of degradation of ZrO2 stabilized by Y2O3 (YSZ) thermal barrier-coating system with CoNiCrAlY bond coat applied on cast polycrystalline nickel-based superalloy Inconel 713LC. Cylindrical specimens in as-coated conditions were cyclically strained under strain control with constant total strain amplitude in symmetrical cycle at high temperature (900 °C) in air. Coating system YSZ with CoNiCrAlY bond coat were prepared by APS method on blasted surface. The microstructure of TBC was characterized with scanning electron microscopy and energy dispersion X-ray analysis. The coating thickness and hardness profile was measured. Fracture surface, surface relief and polished sections parallel to the specimen axis were examined to study damage mechanisms in coatings under cyclic loading at high temperature. It was find that initiation of the fatigue crack usually occurs on interface YSZ-CoNiCrAlY and the trajectory of the further crack propagation was documented.