diff --git a/src/commonMain/kotlin/com/charleskorn/kaml/YamlContextualInput.kt b/src/commonMain/kotlin/com/charleskorn/kaml/YamlContextualInput.kt
index 6e80a01d..627b3f5f 100644
--- a/src/commonMain/kotlin/com/charleskorn/kaml/YamlContextualInput.kt
+++ b/src/commonMain/kotlin/com/charleskorn/kaml/YamlContextualInput.kt
@@ -24,7 +24,11 @@ import kotlinx.serialization.modules.SerializersModule
 
 internal class YamlContextualInput(node: YamlNode, yaml: Yaml, context: SerializersModule, configuration: YamlConfiguration) : YamlInput(node, yaml, context, configuration) {
     override fun decodeElementIndex(descriptor: SerialDescriptor): Int = throw IllegalStateException("Must call beginStructure() and use returned Decoder")
-    override fun decodeValue(): Any = throw IllegalStateException("Must call beginStructure() and use returned Decoder")
+    override fun decodeValue(): Any = when (node) {
+        is YamlScalar -> node.content
+        is YamlNull -> throw UnexpectedNullValueException(node.path)
+        else -> throw IllegalStateException("Must call beginStructure() and use returned Decoder")
+    }
 
     override fun beginStructure(descriptor: SerialDescriptor): CompositeDecoder =
         createFor(node, yaml, serializersModule, configuration, descriptor)
diff --git a/src/commonTest/kotlin/com/charleskorn/kaml/YamlReadingTest.kt b/src/commonTest/kotlin/com/charleskorn/kaml/YamlReadingTest.kt
index 5709999d..f96f4aa8 100644
--- a/src/commonTest/kotlin/com/charleskorn/kaml/YamlReadingTest.kt
+++ b/src/commonTest/kotlin/com/charleskorn/kaml/YamlReadingTest.kt
@@ -1470,6 +1470,20 @@ class YamlReadingTest : FlatFunSpec({
                     }
                 }
 
+                context("given some input for an object where the property value should be a sealed class (inline)") {
+                    val input = """
+                        element: !<inlineString> "abcdef"
+                    """.trimIndent()
+
+                    context("parsing that input") {
+                        val result = polymorphicYaml.decodeFromString(SealedWrapper.serializer(), input)
+
+                        test("deserializes it to a Kotlin object") {
+                            result shouldBe SealedWrapper(TestSealedStructure.InlineSealedString("abcdef"))
+                        }
+                    }
+                }
+
                 context("given some input for an object where the property value is a literal") {
                     val input = """
                         test: !<simpleInt> 42
@@ -1492,6 +1506,7 @@ class YamlReadingTest : FlatFunSpec({
                           value: -987
                         - !<sealedInt>
                           value: 654
+                        - !<inlineString> "testing"
                         - !<sealedString>
                           value: "tests"
                     """.trimIndent()
@@ -1505,6 +1520,7 @@ class YamlReadingTest : FlatFunSpec({
                                     TestSealedStructure.SimpleSealedString(null),
                                     TestSealedStructure.SimpleSealedInt(-987),
                                     TestSealedStructure.SimpleSealedInt(654),
+                                    TestSealedStructure.InlineSealedString("testing"),
                                     TestSealedStructure.SimpleSealedString("tests"),
                                 )
                         }
@@ -1603,11 +1619,11 @@ class YamlReadingTest : FlatFunSpec({
                             val exception = shouldThrow<UnknownPolymorphicTypeException> { polymorphicYaml.decodeFromString(TestSealedStructure.serializer(), input) }
 
                             exception.asClue {
-                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: sealedInt, sealedString"
+                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: inlineString, sealedInt, sealedString"
                                 it.line shouldBe 1
                                 it.column shouldBe 1
                                 it.typeName shouldBe "someOtherType"
-                                it.validTypeNames shouldBe setOf("sealedInt", "sealedString")
+                                it.validTypeNames shouldBe setOf("inlineString", "sealedInt", "sealedString")
                                 it.path shouldBe YamlPath.root
                             }
                         }
@@ -1624,11 +1640,11 @@ class YamlReadingTest : FlatFunSpec({
                             val exception = shouldThrow<UnknownPolymorphicTypeException> { polymorphicYaml.decodeFromString(TestSealedStructure.serializer(), input) }
 
                             exception.asClue {
-                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: sealedInt, sealedString"
+                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: inlineString, sealedInt, sealedString"
                                 it.line shouldBe 1
                                 it.column shouldBe 1
                                 it.typeName shouldBe "someOtherType"
-                                it.validTypeNames shouldBe setOf("sealedInt", "sealedString")
+                                it.validTypeNames shouldBe setOf("inlineString", "sealedInt", "sealedString")
                                 it.path shouldBe YamlPath.root
                             }
                         }
@@ -1818,11 +1834,11 @@ class YamlReadingTest : FlatFunSpec({
                             val exception = shouldThrow<UnknownPolymorphicTypeException> { polymorphicYaml.decodeFromString(TestSealedStructure.serializer(), input) }
 
                             exception.asClue {
-                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: sealedInt, sealedString"
+                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: inlineString, sealedInt, sealedString"
                                 it.line shouldBe 1
                                 it.column shouldBe 7
                                 it.typeName shouldBe "someOtherType"
-                                it.validTypeNames shouldBe setOf("sealedInt", "sealedString")
+                                it.validTypeNames shouldBe setOf("inlineString", "sealedInt", "sealedString")
                                 it.path shouldBe YamlPath.root.withMapElementKey("type", Location(1, 1)).withMapElementValue(Location(1, 7))
                             }
                         }
@@ -2028,11 +2044,11 @@ class YamlReadingTest : FlatFunSpec({
                             val exception = shouldThrow<UnknownPolymorphicTypeException> { polymorphicYaml.decodeFromString(TestSealedStructure.serializer(), input) }
 
                             exception.asClue {
-                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: sealedInt, sealedString"
+                                it.message shouldBe "Unknown type 'someOtherType'. Known types are: inlineString, sealedInt, sealedString"
                                 it.line shouldBe 1
                                 it.column shouldBe 7
                                 it.typeName shouldBe "someOtherType"
-                                it.validTypeNames shouldBe setOf("sealedInt", "sealedString")
+                                it.validTypeNames shouldBe setOf("inlineString", "sealedInt", "sealedString")
                                 it.path shouldBe YamlPath.root.withMapElementKey("kind", Location(1, 1)).withMapElementValue(Location(1, 7))
                             }
                         }
diff --git a/src/commonTest/kotlin/com/charleskorn/kaml/YamlWritingTest.kt b/src/commonTest/kotlin/com/charleskorn/kaml/YamlWritingTest.kt
index 22c8e5f9..2ed733d6 100644
--- a/src/commonTest/kotlin/com/charleskorn/kaml/YamlWritingTest.kt
+++ b/src/commonTest/kotlin/com/charleskorn/kaml/YamlWritingTest.kt
@@ -845,6 +845,18 @@ class YamlWritingTest : FlatFunSpec({
                     }
                 }
 
+                context("serializing a sealed type (inline)") {
+                    val input = TestSealedStructure.InlineSealedString("abc")
+                    val output = polymorphicYaml.encodeToString(TestSealedStructure.serializer(), input)
+                    val expectedYaml = """
+                        !<inlineString> "abc"
+                    """.trimIndent()
+
+                    test("returns the value serialized in the expected YAML form") {
+                        output shouldBe expectedYaml
+                    }
+                }
+
                 context("serializing an unsealed type") {
                     val input = UnsealedString("blah")
                     val output = polymorphicYaml.encodeToString(PolymorphicSerializer(UnsealedClass::class), input)
@@ -883,11 +895,24 @@ class YamlWritingTest : FlatFunSpec({
                     }
                 }
 
+                context("serializing a polymorphic value (inline) as a property value") {
+                    val input = SealedWrapper(TestSealedStructure.InlineSealedString("abc"))
+                    val output = polymorphicYaml.encodeToString(SealedWrapper.serializer(), input)
+                    val expectedYaml = """
+                        element: !<inlineString> "abc"
+                    """.trimIndent()
+
+                    test("returns the value serialized in the expected YAML form") {
+                        output shouldBe expectedYaml
+                    }
+                }
+
                 context("serializing a list of polymorphic values") {
                     val input = listOf(
                         TestSealedStructure.SimpleSealedInt(5),
                         TestSealedStructure.SimpleSealedString("some test"),
                         TestSealedStructure.SimpleSealedInt(-20),
+                        TestSealedStructure.InlineSealedString("more test"),
                         TestSealedStructure.SimpleSealedString(null),
                         null,
                     )
@@ -901,6 +926,7 @@ class YamlWritingTest : FlatFunSpec({
                           value: "some test"
                         - !<sealedInt>
                           value: -20
+                        - !<inlineString> "more test"
                         - !<sealedString>
                           value: null
                         - null
diff --git a/src/commonTest/kotlin/com/charleskorn/kaml/testobjects/PolymorphicTestObjects.kt b/src/commonTest/kotlin/com/charleskorn/kaml/testobjects/PolymorphicTestObjects.kt
index 72786a6a..b38af980 100644
--- a/src/commonTest/kotlin/com/charleskorn/kaml/testobjects/PolymorphicTestObjects.kt
+++ b/src/commonTest/kotlin/com/charleskorn/kaml/testobjects/PolymorphicTestObjects.kt
@@ -28,16 +28,22 @@ import kotlinx.serialization.descriptors.SerialDescriptor
 import kotlinx.serialization.encoding.Decoder
 import kotlinx.serialization.encoding.Encoder
 import kotlinx.serialization.modules.SerializersModule
+import kotlin.jvm.JvmInline
 
 @Serializable
-sealed class TestSealedStructure {
+sealed interface TestSealedStructure {
     @Serializable
     @SerialName("sealedInt")
-    data class SimpleSealedInt(val value: Int) : TestSealedStructure()
+    data class SimpleSealedInt(val value: Int) : TestSealedStructure
 
     @Serializable
     @SerialName("sealedString")
-    data class SimpleSealedString(val value: String?) : TestSealedStructure()
+    data class SimpleSealedString(val value: String?) : TestSealedStructure
+
+    @Serializable
+    @SerialName("inlineString")
+    @JvmInline
+    value class InlineSealedString(val value: String) : TestSealedStructure
 }
 
 @Serializable