In this article, the goal is to monitor the deformation and damage behavior of composites in real-time using a Nylon/Ag fiber sensor when subjected to dynamic loading. Composite samples are integrated with Nylon/Ag fiber sensors at distinct locations and directions between the plies. Then, these samples are experimentally impacted with low-velocity impact using the Taylor Cannon Gun apparatus at three different velocities i.e. 2.5 m s−1, 3 m s−1, and 6.5 m s−1, respectively. These three sets of tests are conducted to determine the detection performance of the Nylon/Ag fiber sensor when the composite sample experiences no damage, some microdamage, and overall breakage. Besides, the fiber sensor placed in each position showed distinct electrical behavior in all three tests and detected the deformation, damage initiation, quantification, identification, and damage propagation. The results confirmed the ability of the fiber sensor to monitor and identify the mechanical deformation during dynamic loading and showed that the sensor can be used as a flexible sensor reinforcement in composites for in-situ monitoring as well.