Failure prediction modeling and optimization of composite structure under impact loading is reported in the paper. A methodology is presented to optimize the composite laminate subjected to impact loading considering fiber arrangement as a design variable and residual velocity as an objective function. The fitness function is evaluated using ABAQUS/Explicit that works on the continuum damage mechanics model. The damage behavior of composites obtained through this model is validated with simulation and experiments. The results show a substantial impact of fiber arrangement on residual velocity, penetration, energy absorption capacity and ballistic limit of the plate.