Cinnamon has been used for centuries as a flavor ingredient and for medicinal purposes. It is known to reduce the risk of cancers, hyperlipidemia, and hyperglycemia due to the presence of a variety of functional active compounds. Major active components available in Cinnamon are cinnamaldehyde, cinnamyl acetate, cinnamyl alcohol, eugenol, tannin, methyl-hydroxy chalcone polymer (MHCP), cinnamic acid, camphor, etc. Among the commonly cultivated cinnamon species; Cinnamon verum or Cinnamomum zeylanicum, known as Ceylon cinnamon, has been identified as superior in beneficial active compound composition compared to its counterpart C. cassia. Various parts of the cinnamon plant such as bark, roots, and leaves contain different compositions of active compounds. Hence, their extractions are in medicinal use. Cinnamon oils and oleoresins are frequently used in the food industry due to their flavor and health benefits. Cinnamon is proven to reduce low-density lipoprotein and serum triglyceride contents effectively. High antioxidant properties are assumed to reduce the risk of cancers of various types. The antimicrobial properties of cinnamon extracts are often considered in Asian endemic medicinal treatments and are clinically proven. Among all, the remarkable ability of cinnamon in increasing insulin sensitivity and thereby, reducing the risk of type 2 diabetes has is a highlight.