Natural lignocellulosic fibers (NFLs) possess several economic, technical, environmental and social advantages, making them an ideal alternative to synthetic fibers in composite materials. Caranan fiber is an NFL extract from the leafstalk of the Mauritiella armata palm tree, endemic to South America. The present work investigates the addition of 10, 20 and 30 vol% caranan fiber in epoxy resin, regarding the properties associated with Izod notch tough and ballistic performance. Following ASTM D256 standards, ten impact specimens for each fiber reinforcement condition (vol%) were investigated. For the ballistic test, a composite plate with 30 vol%, which has the best result, was tested with ten shots, using 0.22 ammunition to verify the energy absorption. The results showed that when compared to the average values obtained for the epoxy resin, the effect of incorporating 30 vol% caranan fibers as reinforcement in composites was evident in the Izod impact test, producing an increase of around 640% in absorption energy. Absorbed ballistic energy and velocity limit results provided values similar to those already reported in the literature: around 56 J and 186 J, respectively. All results obtained were ANOVA statistically analyzed based on a confidence level of 95%. Tukey’s test revealed, as expected, that the best performance among the studied impact resistance was 30 vol%, reaching the highest values of energy absorption. For ballistic performance, the Weibull analysis showed a high R2 correlation value above 0.9, confirming the reliability of the tested samples. These results illustrate the possibilities of caranan fiber to be used as a reinforcement for epoxy composites and its promising application in ballistic armor.