diff --git a/.github/codecov.yaml b/.github/codecov.yaml
new file mode 100644
index 00000000..5960f02b
--- /dev/null
+++ b/.github/codecov.yaml
@@ -0,0 +1,20 @@
+codecov:
+  require_ci_to_pass: yes
+
+ignore:
+  - "internal/tools/*"
+
+coverage:
+  precision: 1
+  round: down
+  range: "70...100"
+  status:
+    project:
+      default:
+        target: auto
+        threshold: 0.5%
+
+comment:
+  layout: "reach,diff,flags,tree"
+  behavior: default
+  require_changes: yes
\ No newline at end of file
diff --git a/.github/workflows/codecov.yml b/.github/workflows/codecov.yml
new file mode 100644
index 00000000..6f67ca2a
--- /dev/null
+++ b/.github/workflows/codecov.yml
@@ -0,0 +1,50 @@
+name: Run CodeCov
+on:
+  push:
+    branches:
+      - main
+  pull_request:
+env:
+  # Path to where test results will be saved.
+  TEST_RESULTS: /tmp/test-results
+  # Default minimum version of Go to support.
+  DEFAULT_GO_VERSION: 1.15
+jobs:
+  test-coverage:
+    runs-on: ubuntu-latest
+    steps:
+    - name: Install Go
+      uses: actions/setup-go@v2.1.3
+      with:
+        go-version: ${{ env.DEFAULT_GO_VERSION }}
+    - name: Checkout Repo
+      uses: actions/checkout@v2
+    - name: Setup Environment
+      run: |
+        echo "GOPATH=$(go env GOPATH)" >> $GITHUB_ENV
+        echo "$(go env GOPATH)/bin" >> $GITHUB_PATH
+    - name: Module cache
+      uses: actions/cache@v2.1.6
+      env:
+        cache-name: go-mod-cache
+      with:
+        path: ~/go/pkg/mod
+        key: ${{ runner.os }}-${{ env.cache-name }}-${{ hashFiles('**/go.sum') }}
+    - name: Run coverage tests
+      run: |
+        make test-coverage
+        mkdir $TEST_RESULTS
+        cp coverage.out $TEST_RESULTS
+        cp coverage.txt $TEST_RESULTS
+        cp coverage.html $TEST_RESULTS
+    - name: Upload coverage report
+      uses: codecov/codecov-action@v1
+      with:
+        file: ./coverage.txt
+        fail_ci_if_error: true
+        verbose: true
+    - name: Store coverage test output
+      uses: actions/upload-artifact@v2
+      with:
+          name: opentelemetry-log-collection-test-output
+          path: ${{ env.TEST_RESULTS }}
diff --git a/.gitignore b/.gitignore
index 7d5a9674..f971b5d4 100644
--- a/.gitignore
+++ b/.gitignore
@@ -8,3 +8,6 @@ artifacts/*
 .vscode/*
 gen/
 .idea/*
+coverage.out
+coverage.out.bak
+coverage.txt.bak
diff --git a/Makefile b/Makefile
index be7c4156..5406bae9 100644
--- a/Makefile
+++ b/Makefile
@@ -4,10 +4,10 @@ GOARCH=$(shell go env GOARCH)
 GIT_SHA=$(shell git rev-parse --short HEAD)
 
 PROJECT_ROOT = $(shell pwd)
-ARTIFACTS = ${PROJECT_ROOT}/artifacts
 ALL_MODULES := $(shell find . -type f -name "go.mod" -exec dirname {} \; | sort )
 ALL_SRC := $(shell find . -name '*.go' -type f | sort)
 ADDLICENSE=addlicense
+ALL_COVERAGE_MOD_DIRS := $(shell find . -type f -name 'go.mod' -exec dirname {} \; | egrep -v '^./internal/tools' | sort)
 
 TOOLS_MOD_DIR := ./internal/tools
 .PHONY: install-tools
@@ -23,14 +23,27 @@ test: vet test-only
 test-only:
 	$(MAKE) for-all CMD="go test -race -coverprofile coverage.txt -coverpkg ./... ./..."
 
+.PHONY: test-coverage
+test-coverage: clean
+	@set -e; \
+	printf "" > coverage.txt; \
+	for dir in $(ALL_COVERAGE_MOD_DIRS); do \
+	  (cd "$${dir}" && \
+	    go list ./... \
+	    | grep -v third_party \
+	    | xargs go test -coverpkg=./... -covermode=atomic -coverprofile=coverage.out && \
+	  go tool cover -html=coverage.out -o coverage.html); \
+	  [ -f "$${dir}/coverage.out" ] && cat "$${dir}/coverage.out" >> coverage.txt; \
+	done; \
+	sed -i.bak -e '2,$$ { /^mode: /d; }' coverage.txt	
+
 .PHONY: bench
 bench:
 	go test -benchmem -run=^$$ -bench ^* ./...
 
 .PHONY: clean
 clean:
-	rm -fr ./artifacts
-	$(MAKE) for-all CMD="rm -f coverage.txt coverage.html"
+	$(MAKE) for-all CMD="rm -f coverage.txt.* coverage.html coverage.out"
 
 .PHONY: tidy
 tidy:
@@ -91,4 +104,4 @@ for-all:
 	done
 
 .PHONY: ci-check
-ci-check: vet lint check-license
\ No newline at end of file
+ci-check: vet lint check-license
diff --git a/README.md b/README.md
index 1f1dd2cf..13c5014d 100644
--- a/README.md
+++ b/README.md
@@ -1,4 +1,7 @@
 # opentelemetry-log-collection
+
+[![codecov.io](https://codecov.io/gh/open-telemetry/opentelemetry-log-collection/coverage.svg?branch=main)](https://app.codecov.io/gh/open-telemetry/opentelemetry-log-collection?branch=main)
+
 ## Status
 
 This project was originally developed by [observIQ](https://observiq.com/) under the name [Stanza](https://github.com/observIQ/stanza). It has been contributed to the OpenTelemetry project in order to accelerate development of the collector's log collection capabilities.