Josie Green scored a deflected effort from close range before Carrie Jones struck from distance six minutes later.
Liverpool struggled to influence the game and rarely troubled Leicester until the final stages.
The result moves Leicester two points clear of the foot of the table and the Foxes now sit in 10th place.
Leicester boss Willie Kirk told us Leicester: “For me the biggest compliment to the players is that after a four-week break and the position in the league, to put on a performance like that is exceptional.
“To show that mental strength, to play with confidence and play the way we’re playing, we’re playing really good football and creating a lot of chances.
“We’ve not hid the fact that there’s pressure. Every time we’ve put pressure on the players have delivered and they’re continuing to do that.”
Matt Beard’s Liverpool are all but mathematically safe and have an eight-point advantage over bottom-placed Reading.