There are many methods widely applied in the engineering of biomaterials to improve the mechanical properties of the dental composites. The aim of this study was to assess the effect of modification of dental composites with liquid rubber on their mechanical properties, degree of conversion, viscosity, and cytotoxicity. Both flow and packable composite consisted of a mixture of Bis-GMA, TEGDMA, UDMA, and EBADMA resins reinforced with 60 and 78 wt.% ceramic filler, respectively. It was demonstrated that liquid rubber addition significantly increased the fracture toughness by 9% for flow type and 8% for condensable composite. The influence of liquid rubber on flexural strength was not statistically significant. The addition of the toughening agent significantly reduced Young’s modulus by 7% and 9%, respectively, while increasing deformation at breakage. Scanning electron microscopy (SEM) observations allowed to determine the mechanisms of toughening the composites reinforced with ceramic particles. These mechanisms included bridging the crack edges, blocking the crack tip by particles and dissipation of fracture energy by deflection of the cracks on larger particles. The degree of conversion increased after modification, mainly due to a decrease in the matrix resin viscosity. It was also shown that all dental materials were nontoxic according to ISO 10993-5, indicating that modified materials have great potential for commercialization and clinical applications.