Insurers have agreed to continue not using genetic test results for the vast majority of insurance policies until 2017.
It means that only life insurance policies for over £500,000 (currently around 3% of all those sold) will be eligible for genetic testing.
The ABI announced that its Concordat and Moratorium on Genetics, agreed with the Department of Health, would continue as present.
Above the £500,000 amount, insurers will not use adverse predictive genetic test results unless the test has been specifically approved by the government.
The only test that is approved is for Huntington's Disease.
Nick Starling, the ABI's Director of General Insurance and Health, said: "The Concordat and Moratorium on the use of predictive genetic test results works well for consumers.
"It means people can insure themselves and their families, even if they have had an adverse result from a predictive genetic test. The moratorium has proved effective since its introduction in 2001 and has now been extended to 2017."
Anne Milton MP, Health Minister, added: "This is an excellent agreement that has benefited both patients and consumers. The extension of the moratorium will ensure that the public continue to have confidence in using predictive genetic tests and being insured."
The ABI and Department of Health undertake planned reviews three years before the end of each extension, with the next review set to take place in 2014.
