In this research article, an organic polymer based polypyrrole (Ppy) composite material has been synthesized and analyzed for the design and fabrication purposes of a fast-responsive, highly sensitive, and an economical resistive-type novel humidity detection sensor. This humidity sensor most suitably serves the purpose for industrial humidity (i.e., values ranging from low to high) detection applications. First, a polypyrrole composite material (a mixture of polypyrrole, polypyrrole-NiO, polypyrrole-CeO2, and polypyrrole-Nb2O5) has been synthesized by chemical oxidative polymerization method, and then is treated at various temperatures, i.e., 100, 150 and 200 °C, respectively. After this treatment, the synthesized samples were then characterized by using FTIR, SEM, and DTA/TGA techniques for analyzing humidity sensing properties. The polypyrrole samples with the best morphological structure and properties were then incorporated on interdigitated electrodes. For the fabrication purposes of this thin film structure, at first a few drops of polyvinyl alcohol (PVA) were placed over interdigitated electrodes (IDE) and then the synthesized polypyrrole composite was uniformly deposited in the form of a thin film over it. The plots show that this is a good resistive-type humidity detection device for the relative humidity range of 30% to 90%. The response and recovery times of this newly fabricated humidity sensor were reported to be the same as 128 s at room temperature. Additionally, the stability and the repeatability response behavior of this Ppy sensor were verified up to five cycles of multiple repetitions. This presents an excellent stability and repeatability performance of the sensor. Furthermore, the capacitances versus humidity response and recovery properties of the designed sensor were studied too. This illustrates an excellent capacitive verses humidity response and shows a linear and an active behavior. Lastly, the experimental result proves that polypyrrole composite thin film shows a reasonable best performance up to a temperature of 100 °C.