A partially debonded piezoelectric actuator in smart composite laminates was modeled using an improved layerwise displacement field and Heaviside unit step functions. The finite element method with four node plate element and the extended Hamilton principle were used to derive the governing equation. The effects of actuator debonding on the smart composite laminate were investigated in both the frequency and time domains. The frequency and transient responses were obtained using the mode superposition method and the Newmark time integration algorithm, respectively. Two partial actuator debonding cases were studied to investigate the debonding effects on the actuation capability of the piezoelectric actuator. The effect of actuator debonding on the natural frequencies was subtler, but severe reductions of the actuation ability were observed in both the frequency and time responses, especially in the edge debonded actuator case. The results provided confirmation that the proposed modeling could be used in virtual experiments of actuator failure in smart composite laminates.