If you're talking about Game in the sense of finding something funny, making a pattern out of it, quickly hitting it three times, and then getting out of it within two minutes and onto a new scene, then I suppose you are correct - it can't coexist with narrative. But if you're talking about Game in the broader sense then I think it can. What are some of the elements of Game? Two that come to mind are unusual behavior and justification. So we can definitely play with those in a bit more of a Long Game. A longer narrative piece needs interesting behavior to sustain it over the longer period, and it needs justification in order to aide suspension of disbelief. There's also an element of "if this, then what?" in Game. Without that element, a narrative can't exist. It would just be a series of disjointed events and things. "If this, then what" promotes a cohesion between the things that exist in the world we're creating. The big difference is we're not worried about doing it all in under two minutes. And we're probably throwing a few other extra things in there too.
If you watch Trust Us, you will also notice that the duo launches into occasional sub-games. Like the part when they're just riffing on different possible meanings for "Cover all your bases." We could easily lift that one part out of the set and look at it as one solid gamey-scene on its own. It just happens to fit into this much larger piece.
I've also heard Game referred to as "what's fun about the scene." The Fun could mean what's funny, or interesting, or dramatic. No matter what kind of improv we do, if we're not following the fun the audience won't go anywhere with us.