Lloyd’s of London is suing the Michael Jackson Company and AEG because of an insurance policy taken out on Michael Jackson’s performances in London, which never happened due to the superstar’s sudden death.
Lloyd’s are suing AEG, the concert promoter, because they say they withheld witness statements, and other information which would have helped them determine AEG’s entitlement to coverage under the policy. Specifically, information was not given about Michael Jackson’s prescription drug use and the use of Propofol to help him sleep, which ultimately led to his death.
An insurance policy for $17.5 million dollars was taken out for the King of Pop. Now Lloyd’s doesn’t believe it should have to pay because they were never informed that Michael Jackson was taking prescription drugs and Propofol.
“AEG and/or Jackson, knew but did not disclose that Jackson was taking prescription drugs and/or drugs prior to and at the time of his death, including Propofol,” the court documents state.
The insurance company therefore went to court to assert the right to rescind the policy because of Jackson’s alleged drug use. Lloyds wants the insurance policy canceled and for a judge to rule that AEG and the Michael Jackson Company are only entitled to a refund of the premium of the policy.
Michael Jackson died on June 25, 2009 of acute Propofol intoxication. His personal physician, Dr Conrad Murray, who admitted to administering Propofol to Michael, has been charged with involuntary manslaughter. Dr. Murray’s trial is scheduled for September.