Hydroxy-terminated telechelic poly(vinyl ether)s with pendant oxyethylene chains were synthesized by the reaction of the CH3CH(OCOCH3)-O[CH2](4)O-CH(OCOCH3)CH3/Et(1.5)AIC(1.5)/THF-based bifunctional living cationic polymers of 2-methoxyethyl vinyl ether (MOVE), 2-ethoxyethyl vinyl ether (EOVE), and 2-(2-methoxyethoxy)ethyl vinyl ether (MOEOVE) with water and the subsequent reduction of the aldehyde polymer terminals with NaBH4. The obtained poly(vinyl ether) polyols were reacted with an equimolar amount of toluene diisocyanates [a mixture of 2,4- (80%) and 2,6- (20%) isomers] to give water-soluble polyurethanes. The aqueous solutions of these polyurethanes caused thermally induced precipitation at a particular temperature depending on the sort of the thermo-sensitive poly(vinyl ether) segments containing oxyethylene side chains. These polyurethanes also function as polymeric surfactants, lowered the surface tension of their aqueous solutions. (C) 2010 Wiley Periodicals, Inc. J Polym Sci Part A: Polym Chem 48:1641-1648, 2010