diff --git a/.coveragerc b/.coveragerc
new file mode 100644
index 00000000..4248611c
--- /dev/null
+++ b/.coveragerc
@@ -0,0 +1,8 @@
+[run]
+branch = True
+source = heatclient
+omit = heatclient/tests/*,heatclient/openstack/*
+
+[report]
+ignore_errors = True
+precision = 2
diff --git a/.gitignore b/.gitignore
index ea9789f3..dee193ab 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,4 +1,4 @@
-.coverage
+.coverage*
 .venv
 *,cover
 cover