The past decade has witnessed an increase in scientific publications investigating the potential of essential oils as alternatives to synthetic pesticides for the control of plant and animal pests and disease vectors. The essential oil of Schinus molle has been the subject of various studies aimed at describing its insecticidal, acaricidal, and repellent properties. S. molle, although native to South America, is also widely distributed in countries bordering the Mediterranean. The objective of this systematic review was to analyze existing information on S. molle essential oil as a raw material for novel biopesticides and nanobiopesticides. We searched articles from PubMed, Scopus, and MDPI databases, and from 194 reports, we critically selected 33 articles produced between 2005 and 2024, representing all of the studies that aimed to evaluate the properties of the essential oil of this species as an insecticide, acaricide, and pesticide. The chemical composition varies significantly depending on origin, although two chemotypes associated with α-phellandrene and limonene appear to emerge. Data on adulticide activity and repellency are promising, and there are preliminary studies of microencapsulated forms of the essential oil that represent contemporary research trends currently under investigation. Furthermore, S. molle essential oil appears to demonstrate acetylcholinesterase inhibition effects that warrant further investigation. Finally, in this review, we have highlighted the potential of S. molle essential oil as a biopesticide, emphasizing the need to progress from a preliminary study phase to research conducted in application contexts. The conclusions of this review indicate future research trends aimed at the development of commercial products for organic and regenerative agriculture.