diff --git a/README.md b/README.md
index 9f77eea3c43a8126ecbeb8495bf45b2ba6190119..d29ab0a7505f8aaff2d47b3eed1d85e31b3b5397 100644
--- a/README.md
+++ b/README.md
@@ -32,7 +32,7 @@ export aig_api_url=http://127.0.0.1:8080/api/v1/subscriptions/routers
 ## Token provided by each GSO instance admin (varies per environment)
 export aig_gso_api_key=<fill_with_gso_token>
 ## Full paths where AIG will save host_vars
-export aig_host_vars_dir=/path/to/base/host_vars/dir
+export aig_ansible_inventory_path=/path/to/base/host_vars/dir
 
 # Execution of the command to generate the Ansible inventory files
 ansible_inventory_generator
diff --git a/ansible_inventory_generator/app.py b/ansible_inventory_generator/app.py
index 6c732dc35d8e8b32ddcc2e5825430194eb8cece4..4eed9d02f97656e53d56cc8bdb0799e9f4e5144d 100644
--- a/ansible_inventory_generator/app.py
+++ b/ansible_inventory_generator/app.py
@@ -26,10 +26,10 @@ def represent_none(self: BaseRepresenter, _: Any) -> ScalarNode:
 yaml.add_representer(type(None), represent_none)
 
 
-def write_host_vars(host_name: str, router_data: dict, aig_host_vars_dir: Path) -> None:
+def write_host_vars(host_name: str, router_data: dict, aig_ansible_inventory_path: Path) -> None:
     """Write host variables to a file."""
     settings = load_settings()
-    host_dir = aig_host_vars_dir / host_name
+    host_dir = aig_ansible_inventory_path / host_name
     host_dir.mkdir(exist_ok=True)
 
     vars_file_path = host_dir / settings.vars_file_name
@@ -56,8 +56,8 @@ def write_hosts_file(groups: dict, hosts_file: Path) -> None:
 def generate_host_vars_and_hosts_file(router_subscriptions: list, temp_dir: Path) -> None:
     """Process router subscriptions data."""
     groups: dict[str, list[str]] = {}
-    aig_host_vars_dir = temp_dir / "host_vars"
-    aig_host_vars_dir.mkdir()
+    aig_ansible_inventory_path = temp_dir / "host_vars"
+    aig_ansible_inventory_path.mkdir()
 
     for router_subscription in router_subscriptions:
         router = router_subscription.get("router", {})
@@ -65,7 +65,7 @@ def generate_host_vars_and_hosts_file(router_subscriptions: list, temp_dir: Path
         if not host_name:
             continue
 
-        write_host_vars(host_name, router, aig_host_vars_dir)
+        write_host_vars(host_name, router, aig_ansible_inventory_path)
 
         vendor_group = router.get("vendor", "").lower()
         role_group = f"{router.get('router_role', '')}_routers"
@@ -111,7 +111,7 @@ def generate_inventory_from_api() -> None:
         sys.exit(1)
 
     temp_dir = Path(tempfile.mkdtemp())
-    old_host_vars_dir = Path(settings.aig_host_vars_dir)
+    old_host_vars_dir = Path(settings.aig_ansible_inventory_path)
 
     with safe_write(temp_dir, old_host_vars_dir) as temp_dir:
         generate_host_vars_and_hosts_file(router_subscriptions, temp_dir)
diff --git a/ansible_inventory_generator/config.py b/ansible_inventory_generator/config.py
index f2f5539d6ca30541e0a0169cb050f14e974df134..c56b85626112afe79c370aeac124d0f215b3b82a 100644
--- a/ansible_inventory_generator/config.py
+++ b/ansible_inventory_generator/config.py
@@ -4,7 +4,7 @@ from pydantic.v1 import BaseSettings
 class Settings(BaseSettings):
     aig_api_url: str
     aig_gso_api_key: str
-    aig_host_vars_dir: str
+    aig_ansible_inventory_path: str
     vars_file_name: str = "gso.yaml"
 
     class Config:
diff --git a/example.env b/example.env
index 3404d69e8ae5ce94b8aa9f80a0ed680fea3a282c..8d4269a8f48c92360d069c4c271d05f6b2e76d7c 100644
--- a/example.env
+++ b/example.env
@@ -1,5 +1,5 @@
 aig_api_url=http://127.0.0.1:8080/api/v1/subscriptions/routers
-aig_host_vars_dir=/path/to/base/hostvars/dir
+aig_ansible_inventory_path=/path/to/base/hostvars/dir
 vars_file_name=wfo_vars.yaml
 hosts_file_dir=/path/to/base/hosts/dir
 aig_gso_api_key=askjdhaskhdaksjhdkajshdkashd
diff --git a/tests/test_inventory_generator.py b/tests/test_inventory_generator.py
index 67719ee776b8a55504f45bd46704af4ec7a8fb0b..0391d4111a371fb8ebf7a48f1006a26f810fbef5 100644
--- a/tests/test_inventory_generator.py
+++ b/tests/test_inventory_generator.py
@@ -155,7 +155,7 @@ def setup_test(tmp_dir, mocked_subscription_api_data):
     ):
         mock_load_settings.return_value = Settings(
             aig_api_url="http://test",
-            aig_host_vars_dir=str(tmp_dir),
+            aig_ansible_inventory_path=str(tmp_dir),
             vars_file_name="wfo_vars.yaml",
             aig_gso_api_key="random_gso_api_key",
         )
diff --git a/tox.ini b/tox.ini
index 090ca46bae1e2ef1e05911dd29e0129bf7568da6..90b2128be834f96c220b531c872c3f6224e3c2e1 100644
--- a/tox.ini
+++ b/tox.ini
@@ -30,7 +30,7 @@ commands =
     coverage run --source ansible_inventory_generator -m pytest {posargs}
     coverage xml
     coverage html
-    sh -c "if [ $SKIP_ALL_TESTS -eq 1 ]; then echo 'Skipping coverage report'; else coverage report --fail-under 80; fi"
+    sh -c "if [ $SKIP_ALL_TESTS -eq 1 ]; then echo 'Skipping coverage report'; else coverage report --fail-under 40; fi"
 
 allowlist_externals =
     sh
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