Yes, it is possible but depending on your distribution, you may have to compile your own NodeJS and gyp versions.
Please see here:
For RHEL/CentOS 7, you can try installing the kaltura-play-server RPM from the repo, for CentOS/RHEL6, for example, you will need to do it manually, due to the version constraints I mentioned.
If I understand correctly this play server does server-side insertion by repackaging the ts segments within the HLS stream. Are you saying that client-side insertion (using VAST and the player itself) is not possible with hls live streams the way it works with VOD?