At present, majority of polyols used in the synthesis of polyurethane foams are of petrochemical origin. The decreasing availability of crude oil imposes the necessity to convert other naturally existing resources, such as plant oils, carbohydrates, starch, or cellulose, as substrates for polyols. Within these natural resources, chitosan is a promising candidate. In this paper, we have attempted to use biopolymeric chitosan to obtain polyols and rigid polyurethane foams. Four methods of polyol synthesis from water-soluble chitosan functionalized by reactions of hydroxyalkylation with glycidol and ethylene carbonate with variable environment were elaborated. The chitosan-derived polyols can be obtained in water in the presence of glycerol or in no-solvent conditions. The products were characterized by IR, 1H-NMR, and MALDI-TOF methods. Their properties, such as density, viscosity, surface tension, and hydroxyl numbers, were determined. Polyurethane foams were obtained from hydroxyalkylated chitosan. The foaming of hydroxyalkylated chitosan with 4,4′-diphenylmethane diisocyanate, water, and triethylamine as catalysts was optimized. The four types of foams obtained were characterized by physical parameters such as apparent density, water uptake, dimension stability, thermal conductivity coefficient, compressive strength, and heat resistance at 150 and 175 °C. It has been found that the obtained materials had most of the properties similar to those of classic rigid polyurethane foams, except for an increased thermal resistance up to 175 °C. The chitosan-based polyols and polyurethane foams obtained from them are biodegradable: the polyol is completely biodegraded, while the PUF obtained thereof is 52% biodegradable within 28 days in the soil biodegradation oxygen demand test.