We show that coalgebras whose lattice of right coideals is distributive are coproducts of coalgebras whose lattice of right coideals is a chain. Those chain coalgebras are characterized as finite duals of Noetherian chain rings whose residue field is a finite dimensional division algebra over the base field. They also turn out to be coreflexive. Infinite dimensional chain coalgebras are finite duals of left Noetherian chain domains. Given any finite dimensional division algebra D and D-bimodule structure on D, we construct a chain coalgebra as a cotensor coalgebra. Moreover if D is separable over the base field, every chain coalgebra of type D can be embedded in such a cotensor coalgebra. As a consequence, cotensor coalgebras arising in this way are the only infinite dimensional chain coalgebras over perfect fields. Finite duals of power series rings with coeficients in a finite dimensional division algebra D are further examples of chain coalgebras, which also can be seen as tensor products of D * , and the divided power coalgebra and can be realized as the generalized path coalgebra of a loop. If D is central, any chain coalgebra is a subcoalgebra of the finite dual of D [[x]].