This article delves into the strategic application of polarization diversity in Free-Space Optical (FSO) communication systems. With the overarching aim of optimizing data transmission and bolstering reliability, the paper explores the utilization of diverse polarization orientations to navigate the challenges posed by varying atmospheric conditions. By transmitting identical data streams through different polarization states, the impact of atmospheric turbulence is effectively mitigated, leading to enhanced signal quality and system dependability. This article sheds light on the theoretical underpinnings and simulation modeling of harnessing polarization diversity in FSO communication. The simulations conducted in this study using OptiSystem software ver. 17 demonstrate the effectiveness of this approach in mitigating the adverse impacts of atmospheric turbulence. Notably, the results consistently indicate that the integration of polarization diversity leads to lower Bit Error Rates (BERs) across a spectrum of turbulence conditions. Furthermore, the proposed FSO system exhibits a remarkable ability to sustain robust communication capabilities over extended distances, outperforming the conventional system. Significantly, the proposed FSO system under weak, moderate, and strong turbulence conditions achieves operational distances of approximately 4250, 3750, and 3200 meters, respectively compared to conventional system, which achieves distances of 3750, 3250, and 2250 meters, respectively. This significant performance disparity underscores the potency of the proposed FSO system in overcoming the challenges of atmospheric turbulence and extending the reach of optical communication.