Leicester took the lead in the 60th minute via Jamie Vardy and doubled his sides lead in the 71st minute.
The Red’s slipped to eight position following today’s defeat while Leicester maintained their three point lead at the top of the table.
Can started the game in midfield alongside Lucas Leiva and club captain Jordan Henderson.
Jurgen Klopp’s side went into tonights encounter having won four of their last three games but their unbeaten run came to an abrupt end. The Germany international has cemented his place in the Red’s midfield since the appointment of Jurgen Klopp.
Liverpool take on Sunderland in their next Premier League encounter.
Leicester City confirmed line-ups: Schmeichel; Simpson, Morgan (c), Huth, Fuchs; Albrighton, Kanté, Drinkwater, Mahrez; Okazaki, Vardy
Liverpool confirmed line-ups: Mignolet, Clyne, Lovren, Sakho, Moreno, Can, Henderson, Lucas, Lallana, Milner, Firmino.