Hydrophilic coating composition containing an aqueous binder solution and a homogeneous aqueous dispersion of polymer particles, said dispersion prepared by dissolving a water-insoluble, film-forming polymer in a water-insoluble ethylenically unsaturated monomer which is liquid at room temperature to provide a solution thereof, dispersing by stirring the solution thus formed in an aqueous solution of a hydrophilic colloid and dispersing agent, the stirring being continued until a stable dispersion of polymer-in-monomer solution droplets having a diameter between 1 and 10 micron is formed in said aqueous solution and, while continuously stirring in the presence of a free-radical forming polymerization initiator, heating the dispersion to the decomposition temperature of said polymerization initiator to effect polymerization of said water-insoluble liquid monomer and to form an aqueous dispersion of solvent-free polymer particles, said unsaturated monomer being selected so as to be a solvent at room temperature for said film-forming polymer, and to provide upon said polymerization in the presence of said film-forming polymer, polymer particles having a glass transition temperature of at least 60.degree.C., and said binder of said aqueous binder solution when in an aqueous solution being compatible with said dispersion.