Between Caldera and Puerto Montt, the road was upgraded to a 4-lane freeway with 120 kilometres per hour (75 mph) as speed limit, 20% faster than Chile's common 100 kilometres per hour (62 mph) maximum speed limit.

The highway ends in Puerto Montt, but it divides into two routes, one crossing the Chacao Channel that separates Chiloé from the continent and another route named Carretera Austral (Spanish for Southern Highway) that was opened in the 1980s.

The southern part of Ruta 5 crosses long extensions of native woods and important cities.

South of Caldera to Puerto Montt (1,494 kilometres or 928 miles) it is a 4 lane divided highway and toll road for the most part.

The speed limit on the freeway is 120 kilometres per hour (75 mph) and as of May 2007 drivers must travel with their lights on all day long.