Chile made history on Monday by signing into law a civil union law, granting both same-sex and different-sex couples the same rights as married couples. President Michelle Bachelet signed the bill into law, making Chile the newest country in Latin America to move forward on LGBT rights.

At a ceremony at La Moneda presidential palace, President Bachelet, along with legislators and activists, announced the enacting of Chile's Civil Union Law. In her speech, President Bachelet, the country's Socialist Party, congratulated the country, lawmakers and activists who worked on passing this law, which grants the same rights to same-sex couples as well as straight couples who do not want to marry, the same rights as married couples.

"And today ... we are taking a major step on the path of rights, justice and respect for individual freedom," she said.

"Today we are enacting a law that recognizes and formalizes the relationship of coexistence, both between same-sex couples, as between a man and a woman."

She explained this law would help around 2 million Chileans and allow same-sex couples more security within Chile's legal structure.

"Chile is catching up, becoming more inclusive and diverse, a loving and just Chile, where there are different types of households, but each has the respect, protection, dignity and recognition it deserves," President Bachelet explained.

According to the Chilean government, the law would grant ten specific rights and benefits to the couples that benefit from the bill. It would not discriminate between families, grant them various spousal benefits, and would recognize foreign marriages.

Activists from the Gay Liberation and Integration Movement (MOVILH), which has been advocating for this bill for years, appeared with President Bachelet during the ceremony. MOVILH said it welcomed the president's decision.

"Today is a historic day for social diversity. For the first time the state recognizes that there is no single way to build family. From today the state protects the family diversity and takes care of historical injustices based on prejudices and taboos that should never exist," the group said in a statement.

The law will go into effect in October of this year.