diff --git a/src/log.ts b/src/log.ts
index e36c494..0906003 100644
--- a/src/log.ts
+++ b/src/log.ts
@@ -10,20 +10,20 @@ export const log = {
       args[args.length - 1] = args.at(-1).slice(0, process.platform === 'win32' ? -2 : -1)
 
     const time = new Date().toLocaleTimeString()
-    if (process.env.NODE_ENV === 'dev') {
+    if (process.env.EXTENSION_NODE_ENV === 'dev') {
       console[type](`[INFO ${time}]`, '[Worker]', ...args)
     }
     _log.appendLine(`[INFO ${time}] [Worker] ${args.join(' ')}`)
   },
   info: (...args: any[]) => {
-    if (process.env.NODE_ENV === 'dev') {
+    if (process.env.EXTENSION_NODE_ENV === 'dev') {
       console.log(...args)
     }
     const time = new Date().toLocaleTimeString()
     _log.appendLine(`[INFO ${time}] ${args.join(' ')}`)
   },
   error: (...args: any[]) => {
-    if (process.env.NODE_ENV === 'dev') {
+    if (process.env.EXTENSION_NODE_ENV === 'dev') {
       console.error(...args)
     }
     const time = new Date().toLocaleTimeString()
@@ -39,7 +39,7 @@ export const log = {
     ? undefined
     : (...args: string[]) => {
         const time = new Date().toLocaleTimeString()
-        if (process.env.NODE_ENV === 'dev') {
+        if (process.env.EXTENSION_NODE_ENV === 'dev') {
           console.log(`[${time}]`, ...args)
         }
         _log.appendLine(`[${time}] ${args.join(' ')}`)
diff --git a/src/runner/runner.ts b/src/runner/runner.ts
index 0f6b694..dfdfd71 100644
--- a/src/runner/runner.ts
+++ b/src/runner/runner.ts
@@ -340,7 +340,7 @@ export class TestRunner extends vscode.Disposable {
 
       const testItems = request.include || this.tree.getFileTestItems(file)
       function enqueue(test: vscode.TestItem) {
-        log.verbose?.(`Enqueuing "${test.label}`)
+        log.verbose?.(`Enqueuing "${test.label}"`)
         run.enqueued(test)
         test.children.forEach(enqueue)
       }
@@ -367,9 +367,11 @@ export class TestRunner extends vscode.Disposable {
     })
   }
 
-  private markSuite(_testRun: vscode.TestRun, test: vscode.TestItem, result?: TaskResult) {
-    if (!result)
+  private markSuite(testRun: vscode.TestRun, test: vscode.TestItem, result?: TaskResult) {
+    if (!result) {
+      testRun.started(test)
       return
+    }
 
     if (result.state === 'fail') {
       // errors in a suite are stored only if it happens during discovery
diff --git a/src/worker/coverage.ts b/src/worker/coverage.ts
index 155a1ad..bd74220 100644
--- a/src/worker/coverage.ts
+++ b/src/worker/coverage.ts
@@ -39,17 +39,21 @@ export class VitestCoverage {
     })
   }
 
-  private get config(): ResolvedCoverageOptions {
+  public get config(): ResolvedCoverageOptions {
     return {
       ...this._config,
       enabled: this.enabled,
     }
   }
 
-  private get enabled() {
+  public get enabled() {
     return this._enabled && !this.vitest.collecting
   }
 
+  public get resolved() {
+    return !!this._provider
+  }
+
   public async enable() {
     const vitest = this.ctx
     this._enabled = true
@@ -59,7 +63,7 @@ export class VitestCoverage {
     this._config.reportOnFailure = true
     this._config.reportsDirectory = join(tmpdir(), `vitest-coverage-${randomUUID()}`)
 
-    this.ctx.logger.log('Running coverage with configuration:', this._config)
+    this.ctx.logger.log('Running coverage with configuration:', this.config)
 
     if (!this._provider) {
       // @ts-expect-error private method
diff --git a/src/worker/vitest.ts b/src/worker/vitest.ts
index 6eaa03b..0e204e3 100644
--- a/src/worker/vitest.ts
+++ b/src/worker/vitest.ts
@@ -116,6 +116,26 @@ export class Vitest implements VitestMethods {
     return await this.ctx.globTestFiles(filters)
   }
 
+  private coverageProcessedFiles = new Set<string>()
+
+  private invalidateTree(mod: any, seen = new Set()) {
+    if (seen.has(mod)) {
+      return
+    }
+    if (this.coverageProcessedFiles.has(mod.file)) {
+      return
+    }
+    this.coverageProcessedFiles.add(mod.file)
+    seen.add(mod)
+    this.ctx.server.moduleGraph.invalidateModule(mod)
+    mod.clientImportedModules.forEach((mod: any) => {
+      this.invalidateTree(mod)
+    })
+    mod.ssrImportedModules.forEach((mod: any) => {
+      this.invalidateTree(mod)
+    })
+  }
+
   private async runTestFiles(files: string[], testNamePattern?: string | undefined, runAllFiles = false) {
     await this.ctx.runningPromise
     this.watcher.markRerun(false)
@@ -126,6 +146,18 @@ export class Vitest implements VitestMethods {
     if (this.debug)
       await this.globTestFiles(files)
 
+    if (this.coverage.resolved) {
+      files.forEach((file) => {
+        if (!this.coverageProcessedFiles.has(file)) {
+          const mod = this.ctx.server.moduleGraph.getModuleById(file)
+          if (mod) {
+            this.invalidateTree(mod)
+          }
+          this.coverageProcessedFiles.add(file)
+        }
+      })
+    }
+
     await this.rerunTests(files, runAllFiles)
   }