There is some crime in the middle of the country, where most of the population is (Santiago and Valparaiso) but it's very different down here in the south. There is a lot of German culture down here and the atmosphere is much more relaxed and friendly. People can wander around alone at night without any concern here in Valdivia. The only crime I've encountered was petty fraud, which is fairly common in the Chilean business world.
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Wow nice - I have never heard of the German culture in Chile! I would love to visit the south some time. I believe Chile will also be one of the top safest countries in the world if world war three breaks out, so you´re safe !
I walked by this school in Puerto Varas recently. It appears that there are enough local Germans to support their own school.