To increase the sensitivity of biosensor a new approach using an optical fiber Bragg grating (FBG) coated with a suitable nanostructured metal oxide (NMO) is proposed which is costly effective compared to other biosensors. Bragg grating was written on a D-shaped optical fiber by phase mask method using a 248 nm KrF excimer laser for a 5 min exposure time producing a grating with a period of 528 nm. Titanium dioxide (TiO2) nanostructured metal oxide was coated over the fiber for the purpose of increasing its sensing area. The etched D-shaped FBG was then coated with 312 nm thick TiO2 nanostructured layer to ensure propagating the radiation modes within the core. The final structure was used to sense deionized water and saline. The etched D-shaped FBG original sensitivity before coating to air-deionized water and to air-saline was 0.314 nm/riu and 0.142 nm/riu, respectively. After coating the sensitivity became 1.257 nm/riu for air-deionized water and 0.857 nm/riu for air-saline.