The premium is decided only after assessing the health level of the person and this is done by the life insurance medical test. The test helps the companies to decrease their risks level. A person may not be given a policy in case he is suffering from some severe illness. The company may also charge a heavy amount from such a person. On the contrary, healthy and young people are charged only a small amount and they can also buy big policies.

Life span of a policy holder is determined by the insurance company using the medical history and longevity charts. The longevity charts give an idea about the life span of a person. The company can thus assess the amount of risk that it is going to undertake.

Let's take an example. Suppose according to a longevity chart, men who are aged 29 are likely to die before the women of the same age group. In such a situation, the insurance company will charge a much higher premium from men than from the women of the same age. The companies always charge small premiums from children because they belong to the low risk category.

The history and medical test of the person are also equally important in deciding the premium. The medical tests are usually performed at one's residence or office. However companies may require some additional tests done in certain cases. Medical history compromises of a number of things. Enquiry is made about one's medical history, family medical history and personal medical history. Queries are also made about the family doctor and all the information are gathered about him. The person is also asked about his habits like smoking, drug usage, drinking and exercise. The amount of insurance he requires is also asked.

A number of procedures are performed during the medical tests. The height, weight, blood pressure and pulse of the person are measured. Blood test is preformed for assessing the levels of cholesterol, protein, glucose and HIV in the blood. Urine examination is done for determining the presence of glucose, protein, cocaine and creatine in it.

The results of the medical test are reviewed by the insurance company for estimating the individual's eligibility for the required policy. The amount of premium that is to be charged is also assessed. This process may take some time, even weeks.

You can request a copy of your report from the company in case you fail the test or you feel that the results of the tests are not correct. This may help you in knowing about some major disease which you have been suffering from. You can thus talk to your doctor and start the treatment right away.

However, in case the report is incorrect, you can send a copy of it to the company along with a letter from the doctor mentioning the mistakes of the report. It should state that you are totally fit and fine. This will correct your medical report and will help you in getting the required policy!