Michael Jackson O2 insurer refusing to pay out on the $17.5 million policy

A company who insured Michael Jackson's London concert residency is refusing to pay out on the $17.5 million policy.

Lloyd's of London insist the document ' which protected against the cancellation and non-appearance of the King of Pop at his 50-night run of shows at London's The O2 ' was never valid because promoters AEG Live failed to supply details of the apparent "prescription drug use and/or addiction" of the 'Billie Jean' singer, who died just weeks before the concerts were due to begin.

AEG Live took out the policy two months before Michael died from acute Propofol intoxication in June 2009 and submitted a claim on the policy, accompanied by the star's death certificate, within days of his passing.

However, the insurers insist a required medical examination on the music legend ' who was given the alias Mark Jones on the paperwork ' never took place so have asked a Los Angeles court to nullify the policy.

They also argued they were not obliged to pay the cost of the cancelled shows because they did not receive information they had requested from the promoter about the star's personal physician, Dr. Conrad Murray - who is currently awaiting trial after pleading not guilty to the involuntary manslaughter of his famous patient.

Lawyers for Michael's Estate insist the claim should still stand.

Attorney Howard Weitzman told TMZ: "This legal action is nothing more than an insurance company trying to avoid paying a legitimate claim by the insured."

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