Biocomposites reinforced with natural fibers represent an eco-friendly and inexpensive alternative to conventional petroleum-based materials and have been increasingly utilized in a wide variety of industrial applications due to their numerous advantages, such as their good mechanical properties, low production costs, renewability, and biodegradability. However, these engineered composite materials have inherent downsides, such as their increased flammability when subjected to heat flux or flame initiators, which can limit their range of applications. As a result, certain attempts are still being made to reduce the flammability of biocomposites. The combustion of biobased composites can potentially create life-threatening conditions in buildings, resulting in substantial human and material losses. Additives known as flame-retardants (FRs) have been commonly used to improve the fire protection of wood and biocomposite materials, textiles, and other fields for the purpose of widening their application areas. At present, this practice is very common in the construction sector due to stringent fire safety regulations on residential and public buildings. The aim of this study was to present and discuss recent advances in the development of fire-resistant biocomposites. The flammability of wood and natural fibers as material resources to produce biocomposites was researched to build a holistic picture. Furthermore, the potential of lignin as an eco-friendly and low-cost FR additive to produce high-performance biocomposites with improved technological and fire properties was also discussed in detail. The development of sustainable FR systems, based on renewable raw materials, represents a viable and promising approach to manufacturing biocomposites with improved fire resistance, lower environmental footprint, and enhanced health and safety performance.