Determination of hydrogen peroxide (HO) has become essential in pharmaceutical, biological, clinical and environmental studies. The conventional detection methods of HO such as colourimetry, titration, chromatography, spectrophotometry, fluorimetry, chemiluminescence have limited success, due to their poor selectivity and sensitivity, long analysis time and lack of long-term reliability and reproducibility. The biosensors overcome these limitations because of their simplicity, rapidity, selectivity and high sensitivity. This review describes the principle, analytic parameters, merits and demerits of various methods of HO determination with special emphasis on biosensors. The classification of biosensors based on various materials/nanomaterials and electrodes have been described in detail. The recent advances in vivo sensing and bio-sensing of HO by hemoglobin nanoparticles are also presented. The significant challenges and future perspective for highly selective HO detection are discussed.