Indoor air pollution (IAP) is a prevalent issue, and in the absence of any concrete and stringent guidelines, particularly in developing countries the concern becomes graver. Technological strategies like the use of the Internet of Things (IoT) and cloud computing have been explored for real‐time monitoring and these interventions may be investigated to improve indoor air quality (IAQ) and human health. This review article explores the prospects of IoT and smart environments for the improvement of indoor living conditions through automation. Some specific interference like sensors, air pollution simulations and modeling, the concept of smart ventilation, and fuzzy logic controllers (FLC) have been elaborated with pieces of evidence taken from previously published studies in leading indexing databases. Furthermore, some automated health risk assessment tools like the Human exposure model (HEM), Integrated Fuzzy‐stochastic modeling (IFSM), and proximity and interpolation models have also been described. The findings suggested that IoT‐based gadgets require ambient intelligence capabilities for ambient assisted living (AAL). The studies showed that innovations in technology like sensors and modeling techniques may yield crucial information on pollution exposure enabling long‐term and sustainable predictions. However, efficient AAL systems may also face challenges in designing interfaces, usability, and accessibility. Although IoT can aid in mimicking real‐world scenarios, nevertheless its‐micro spatial scale application requires thorough investigation for reliable information extraction.