"Caterpillars" is E.F. Benson's unsettling tale of a guest at an Italian villa who experiences vivid nightmares of grotesque, luminescent caterpillars with crab-like pincers—only to discover a real specimen in the morning. Published in the early 20th century, this story exemplifies Benson's mastery of psychological horror, blending ambiguity between dream and reality with a devastating final revelation. The reader should expect a slow-building sense of dread, matter-of-fact narration that makes the impossible seem plausible, and a conclusion that recontextualizes everything as something far more sinister than mere nightmare.