This paper provides an overview of the different types of fiber optic sensors (FOS) that can be used with composite materials and also their compatibility with and suitability for embedding inside a composite material. An overview of the different types of FOS used for strain/temperature sensing in composite materials is presented. Recent trends, and future challenges for FOS technology for condition monitoring in smart composite materials are also discussed. This comprehensive review provides essential information for the smart materials industry in selecting of appropriate types of FOS in accordance with end-user requirements.