The last Royal Governor of Chiloé, Antonio de Quintanilla, depended directly on the central government in Madrid.

The area de facto controlled included the Chiloé Archipelago, the seashore forts and settlements north of Chacao Channel plus the Mission of Nahuel Huapi which was nevertheless financed from Valdivia.

[2] The so-called juncos of Osorno (Huilliches) attempted in the late 18th century to have their lands, that lied just south of Bueno River, to be removed from the Governorate of Chiloé and incorporated to Valdivia.

In the 18th century this system changed and while still named by the Royal Governor of Chile the position were to be ratified by the King of Spain.

[1] The office of Governor of Chiloé was commonly used to booster a carrier and then access more desirable positions of power in Central Chile.