Annually, the oak forests of the Zagros Mountains chains in western Iran and northeastern Iraq face recurring challenges posed by forest fires, particularly in the Kurdo–Zagrosian forests in western Iran and northeastern Iraq. Assessing fire susceptibility relies significantly on vegetation conditions. Integrating in situ data, Remote Sensing (RS) data, and Geographical Information Systems (GIS) integration presents a cost-effective and precise approach to capturing environmental conditions before, during, and after fire events, minimizing the need for extensive fieldwork. This study refines and applies the Zagros Grass Index (ZGI), a local vegetation index tailored to discern between grass-covered surfaces and tree canopies in Zagros forests, identifying the grass masses as the most flammable fuel type. Utilizing the Moderate Resolution Imaging Spectroradiometer (MODIS) Normalized Difference Vegetation Index (NDVI) product as input from 2013 to 2022, the ZGI aims to mitigate the influence of tree canopies by isolating NDVI values solely attributable to grass cover. By incorporating phenological characteristics of forest trees and grass species, the ZGI outperforms NDVI in mapping grass-covered areas crucial for the study region’s fire susceptibility assessment. Results demonstrate a substantial overlap between ZGI-based maps and recorded fire occurrences, validating the efficacy of the index in fire susceptibility estimation.