The U.S. Geological Survey initially reported the quake at 8.0, but later upgraded the magnitude. It said the quake struck 61 miles (99 kilometers) northwest of Iquique, hitting a region that has been rocked by numerous quakes over the past two weeks.
Psychiatrist Ricardo Yevenes said he was with a patient in Arica when the quake hit. "It quickly began to move the entire office, things were falling," he told local television. "Almost the whole city is in darkness."
The quake was so strong that the shaking experienced in Bolivia's capital about 290 miles (470 kilometers) away was the equivalent of a 4.5-magnitude tremor, authorities there said.
More than 10 strong aftershocks followed in the first few hours, including a 6.2 tremor. More aftershocks and even a larger quake could not be ruled out, said seismologist Mario Pardo at the University of Chile.
Interior Minister Rodrigo Penailillo said President Michelle Bachelet was closely watching the situation and was ready to take "any measures" to ensure people's safety. Hundreds of soldiers were being deployed in the quake zone, and a flight would be leaving soon with 100 special forces on board, he added.
"We have taken action to ensure public order in the case of Iquique, where we've had a massive escape of more than 300 female prisoners from the Iquique jail, so that the armed forces and police can coordinate and provide tranquility and security to the residents," he said.
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