diff --git a/.gitignore b/.gitignore
index 9a539564..9ec8ce9b 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,7 +1,9 @@
+.coverage
 .venv
 **/.DS_Store
 MANIFEST
 build/
 dist/
 docs/_build
+htmlcov/
 *.egg-info
diff --git a/.travis.yml b/.travis.yml
index a7f2f637..8deda0c0 100644
--- a/.travis.yml
+++ b/.travis.yml
@@ -12,7 +12,7 @@ install:
 - pip install -r dev_requirements.txt
 
 script:
-- MITOGEN_LOG_LEVEL=debug PYTHONPATH=. ${TRAVIS_BUILD_DIR}/test.sh
+- MITOGEN_LOG_LEVEL=debug PYTHONPATH=. ${TRAVIS_BUILD_DIR}/test
 
 services:
   - docker
diff --git a/setup.cfg b/setup.cfg
index 44668df3..92051682 100644
--- a/setup.cfg
+++ b/setup.cfg
@@ -1,3 +1,10 @@
+[coverage:run]
+branch = true
+source =
+    mitogen
+omit =
+    mitogen/compat/*
+
 [flake8]
 ignore = E402,E128,W503
 exclude = mitogen/compat
diff --git a/test b/test
new file mode 100755
index 00000000..aeb9c51c
--- /dev/null
+++ b/test
@@ -0,0 +1,11 @@
+#/bin/sh
+
+UNIT2="$(which unit2)"
+
+coverage erase
+coverage run "${UNIT2}" discover \
+                        --start-directory "tests" \
+                        --pattern '*_test.py' \
+                        "$@"
+coverage html
+echo coverage report is at "file://$(pwd)/htmlcov/index.html"
diff --git a/test.sh b/test.sh
deleted file mode 100755
index ab545104..00000000
--- a/test.sh
+++ /dev/null
@@ -1,63 +0,0 @@
-#!/bin/bash
-
-timeout()
-{
-    python -c '
-import subprocess
-import sys
-import time
-
-deadline = time.time() + float(sys.argv[1])
-proc = subprocess.Popen(sys.argv[2:])
-while time.time() < deadline and proc.poll() is None:
-    time.sleep(1.0)
-
-if proc.poll() is not None:
-    sys.exit(proc.returncode)
-proc.terminate()
-print
-print >> sys.stderr, "Timeout! Command was:", sys.argv[2:]
-print
-sys.exit(1)
-    ' "$@"
-}
-
-trap 'sigint' INT
-sigint()
-{
-    echo "SIGINT received, stopping.."
-    exit 1
-}
-
-run_test()
-{
-    echo "Running $1.."
-    timeout 10 python $1 || fail=$?
-}
-
-run_test tests/ansible_helpers_test.py
-run_test tests/call_error_test.py
-run_test tests/call_function_test.py
-run_test tests/channel_test.py
-run_test tests/fakessh_test.py
-run_test tests/first_stage_test.py
-run_test tests/fork_test.py
-run_test tests/id_allocation_test.py
-run_test tests/importer_test.py
-run_test tests/latch_test.py
-run_test tests/local_test.py
-run_test tests/master_test.py
-run_test tests/module_finder_test.py
-run_test tests/nested_test.py
-run_test tests/parent_test.py
-run_test tests/receiver_test.py
-run_test tests/responder_test.py
-run_test tests/router_test.py
-run_test tests/select_test.py
-run_test tests/ssh_test.py
-run_test tests/utils_test.py
-
-if [ "$fail" ]; then
-    echo "AT LEAST ONE TEST FAILED" >&2
-    exit 1
-fi
diff --git a/tests/README.md b/tests/README.md
index 0ac4bcb1..41c024b5 100644
--- a/tests/README.md
+++ b/tests/README.md
@@ -27,4 +27,4 @@ and run the tests there.
 1. Build the virtual environment ``virtualenv ../venv``
 1. Enable the virtual environment we just built ``source ../venv/bin/activate``
 1. Install Mitogen in pip editable mode ``pip install -e .``
-1. Run ``test.sh``
+1. Run ``test``
diff --git a/tox.ini b/tox.ini
index f9eabeed..70de05df 100644
--- a/tox.ini
+++ b/tox.ini
@@ -8,7 +8,7 @@ deps =
     -r{toxinidir}/dev_requirements.txt
 
 commands =
-    {posargs:./test.sh}
+    {posargs:./test}
 
 [testenv:docs]
 basepython = python