Damage detection and identification in civil, mechanical and aerospace engineering constructions using the dynamic system parameters has become an important research topic. Damage in the form of a loss of local stiffness in a structure would alter the system physical properties such as the vibration parameters of the structure, i.e., the modal frequencies, mode shapes and modal damping values. The changes in the vibration parameters can be used as indicators for damage detection. The present work investigates the application of the change in the modal frequencies, mode shapes curvatures and modal strain energy before and after occurrence of damage to detect the damage location. This method utilizes finite element analysis technique together with dynamic experimental results to detect and identify damage in composite laminates. Results show that the change in the modal parameters is sensitive to damage and the technique gives a clear identification of these locations.