Polycyclic aromatic hydrocarbons (PAHs) are a group of organic compounds with multiple aromatic rings, known for their persistence in the environment and potential health hazards. They originate from both natural sources, such as forest fires, and anthropogenic activities, including industrial processes and vehicle emissions. Environmental contaminants known as PAHs are typically produced as a consequence of insufficient burning of natural sources (e.g., petrol, wood, coal, and oil). According to research, PAH pollution is very hazardous, mutagenic, carcinogenic, teratogenic, and immune-toxicogenic to a variety of living forms. This review addresses the occurrence, fate, effects, risk assessment, and biodegradation of PAHs, alongside the health hazards posed by their metabolites. Furthermore, it explores microbial degradation that includes bacteria, algae, plants, fungi, and rhizosphere microorganisms to mitigate PAH contamination. Despite the effectiveness of these biological processes in reducing PAH levels, the metabolites produced can sometimes be more toxic than the parent compounds, posing additional health hazards. The review integrates current knowledge on the occurrence, fate, and effects of PAHs, the risk assessment framework, and the complex interplay between biodegradation processes and metabolite toxicity. It underscores the importance of advancing research in omics techniques and conducting thorough risk assessments to safeguard environmental and public health.