The low performance of insulation panels has received great attention from many researchers and engineers to improve their properties as it has become a limiting factor that minimize their usage specifically as insulation building material. Recently, there has been an increase in interest in the development of composite insulation panels made from natural waste fiber. Due to the abundance of natural waste fiber generated by the agricultural industry, it has made them suitable to be utilized as raw material for composite insulation panels. Having improper waste disposal management might result in these massive quantities of valuable natural waste fiber having a detrimental effect on our ecosystem and contributing to various environmental pollution. A composite insulation panel made from natural waste fibers has unique and versatile features in terms of thermal, physical, and mechanical properties. Seeing such potential, this paper presents a review on the influencing factors towards improving comprehensive properties of composite insulation panels. Factors that influence the properties of the panel, such as the physico-chemical properties of fiber, fiber geometrical structure, and fiber treatment were discussed. Previous and recent research efforts related to factors influencing the properties of composite insulation panels were also compiled. Last but not least, the suitable criteria, limiting factors, and condition of the fiber used in composite insulation panels were also all highlighted.