There will always be insurance companies as long as they can formalize a bet where they expect people to pay more in premiums than what they expect they need to pay out.
As long people get a feeling of security, there will also be people willing to pay more in premiums than what they expect to get out.
If people start gaming the system, and DNA testing become very accurate in predicting the future (current commercial DNA testing is not even close), then what will likely happen is that big payouts will go away. It will have enough limits, caps, restrictions and conditions in order to rebalance the risk assessments in favor of the insurance company.
As long people get a feeling of security, there will also be people willing to pay more in premiums than what they expect to get out.
If people start gaming the system, and DNA testing become very accurate in predicting the future (current commercial DNA testing is not even close), then what will likely happen is that big payouts will go away. It will have enough limits, caps, restrictions and conditions in order to rebalance the risk assessments in favor of the insurance company.