Algae have shown numerous advantages as biofunctional and bioactive material sources. The development of biosynthetic or synthetic materials has enabled algal-derived macromolecules and their derivatives to be used in biomedical applications. This review examines and analyzes the most recent developments in the production of biomaterials from algal-derived macromolecules and their composites and their potential applications in bone and cardiovascular tissue engineering. Several macromolecules derived from algal polysaccharides, including sulfated polysaccharides, fucoidans, and fucans, have been developed for cartilage, intervertebral disc, bone, and skeletal muscle transplants because of their stable structures. Alginates, fucoidans, chitin, porphyrin, and other algal polysaccharide derivatives have been investigated for engineering blood vessels, heart valves, and even the liver. One advantage of algal-derived macromolecules and composites is their safe immunity properties. This review also highlights cutting-edge developments in applying algal-derived macromolecules with a broader biomedical scope to encourage in-depth research into their potential as biomaterial scaffolds in medical applications.