Punjabi is a model who played several bit roles in Hindi films such as Kaho Naa Pyaar Hai (girl taunting Amisha Patel on the cruise ship), Na Tum Jaano Na Hum (lady in the final wedding scene) and Koi Mil Gaya (one of the inhabitants of the Hill Stations). In 1997, she featured in a music video called Mehndi Mehndi, and was also part of the music video Kala Shah Kala by Anamika. She was also seen in the movies Yaadein (talking to Kareena Kapoor at the cycle race competition), as well as in Phir Bhi Dil Hai Hindustani (as a news reporter). In addition, she was also seen in a Telugu movie titled Maa avida meeda ottu mee avida chala manchidi. In the movie, Punjabi is seen as Prakash Raj's fiance in Goa.
Kamya Panjabi and her daughter at Disney princess' promotion in Mumbai
Kamya was married to Bunty Negi.  They both had a daughter named Aara (born 2009). In 2013, a month before entering the Bigg Boss house, the couple filed for divorce. The reason stated were the unconfirmed reports of an extra marital affair between Kamya and her co-star in Woh Rehne Waali Mehlon Ki, Nimay Bali.