Prolonged physical inactivity can lead to many health conditions and is common observed among elderly people. Dance, regardless of style, can significantly improve generel fitness of older adults. This study aims to investige the effects of a faroese chain dance program on health, balance and physical function in 25 healthy elderly adults over the age of 67 years. Participants where randomly divided into an exercise group (EG) and a control group (CG). The EG performed a 6-week dance exercise program twice a week, the first 3 weeks for 30 min and the last 3 weeks for 45 min. Before and after the exercise, physical health was assessed by measures of blood pressure, resting heart rate, weight, muscle mass and body fat percentage. Balance ability was evaluated by Berg Balance Scale (BBS) and Fullerton Advanced Balance Scale (FAB) test and physical function evaluated by Short Physical Performance Battery (SPPB), Timed Up & Go (TUG), 6 min walk test and 30 second sit to stand test. The results show statistically significant improvements in SPPB and FAB for EG (p < 0.05), but no changes in health. In conclusion, a 6 week Faroese chain dance program improves balance and physical function in elderly adults.