Ferrol was established in 1850 as a barrio of Odiongan municipality by Spanish colonial authorities. They discovered the place some 10 kilometers southwest after repulsing and chasing a convoy of Muslimpirates that attacked Odiongan. The Spanish noted the resemblance of the bay in the vicinity to the bay of Ferrol, Spain, which is the home port of Spain'sMaritime Department of the North, hence the town's name.
In 1978, in order to consolidate the Onhan-speakingbarangays of Odiongan into one municipality, Assemblyman Nemesio Ganan Jr. authored a bill in the Congress of the Philippines which created Ferrol, together with the barangays of Agnocnoc, Bunsoran, Hinagoman, Tubigon, and Claro M. Recto in a new municipality. Ferrol formally became the 16th municipality in Romblon by virtue of Presidential Decree No. 1492, signed by President Ferdinand Marcos.