diff --git a/.github/template-cleanup/README.md b/.github/template-cleanup/README.md
index f9754ea0..3ae44a6a 100644
--- a/.github/template-cleanup/README.md
+++ b/.github/template-cleanup/README.md
@@ -15,6 +15,7 @@
 - [ ] Set the [Plugin Signing](https://plugins.jetbrains.com/docs/intellij/plugin-signing.html?from=IJPluginTemplate) related [secrets](https://github.com/JetBrains/intellij-platform-plugin-template#environment-variables).
 - [ ] Set the [Deployment Token](https://plugins.jetbrains.com/docs/marketplace/plugin-upload.html?from=IJPluginTemplate).
 - [ ] Click the <kbd>Watch</kbd> button on the top of the [IntelliJ Platform Plugin Template][template] to be notified about releases containing new features and fixes.
+- [ ] Configure the [CODECOV_TOKEN](https://docs.codecov.com/docs/quick-start) secret for automated test coverage reports on PRs
 
 <!-- Plugin description -->
 This Fancy IntelliJ Platform Plugin is going to be your implementation of the brilliant ideas that you have.
diff --git a/.github/workflows/build.yml b/.github/workflows/build.yml
index 7ea73769..d37c43ef 100644
--- a/.github/workflows/build.yml
+++ b/.github/workflows/build.yml
@@ -129,9 +129,10 @@ jobs:
 
       # Upload the Kover report to CodeCov
       - name: Upload Code Coverage Report
-        uses: codecov/codecov-action@v4
+        uses: codecov/codecov-action@v5
         with:
           files: ${{ github.workspace }}/build/reports/kover/report.xml
+          token: ${{ secrets.CODECOV_TOKEN }}
 
   # Run Qodana inspections and provide report
   inspectCode:
diff --git a/CHANGELOG.md b/CHANGELOG.md
index 12bc396b..59cd1a92 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -4,6 +4,9 @@
 
 ## [Unreleased]
 
+### Changed
+- Update codecov configuration based on new required upload token
+
 ## [2.0.2] - 2024-10-07
 
 ### Changed
diff --git a/codecov.yml b/codecov.yml
new file mode 100644
index 00000000..0c0aacec
--- /dev/null
+++ b/codecov.yml
@@ -0,0 +1,10 @@
+coverage:
+  status:
+    project:
+      default:
+        informational: true
+        threshold: 0%
+        base: auto
+    patch:
+      default:
+        informational: true
\ No newline at end of file