This paper presents the surface plasmon resonance (SPR) characteristics of D-shaped silica multimode optical fiber coated with bilayer silver-gold film. The effect of various coating thicknesses on the SPR characteristics was investigated through simulation using COMSOL Multiphysics. The inner layer Ag thickness varied from 20 nm to 60 nm, and the outer layer Au thickness ranged from 5 nm to 25 nm. Prior simulation results indicated that a single-layer silver (Ag) coating produces a narrower plasmonic curve than a single-layer gold (Au) coating. The confinement loss and the resonance wavelengths were simulated for the sensing medium with a refractive index (RI) range of 1.40–1.45. The simulation results show that the Ag/Au bilayers coated sensors have better full-width-half-maximum (FWHM) and figure-of-merit (FOM) than the single-layer coated sensors. The Ag/Au with a 40 nm/5 nm thickness exhibits the highest confinement loss, with a wavelength sensitivity of 10 000 nm/RIU and a figure-of-merit (FOM) of 500 RIU−1. The proposed sensor using a D-shaped optical fiber coated with Ag/Au layers has a high potential for remote sensing applications involving chemical liquids, offering robust and accurate measurements within the tested refractive index range.