Lloyds insurance has submitted a compromise settlement of $935,000 to the Tel Aviv District Court after the Israeli actor Chaim Topol and Galia Productions sued them in February for $1.1 million.
The offer was made by Lloyds's Israeli representative, Tal Syndicate.
Mr Topol sued Lloyds for lost income after he had to withdraw from a north American tour of Fiddler on the Roof last year in which he played Tevya the Milkman, the same role which first brought him fame and fortune in the 1960s and 1970s, on the stage and in the film version.
The tour began in January 2009 and Mr Topol took out insurance for loss of income if he became unfit to work. At the end of February 2009, he slipped on stage and hurt his shoulder. He continued performing until June when he hurt the shoulder again during a performance.
An MRI scan showed a torn tendon, and on a specialist's advice, the actor returned to Israel in November for surgery and withdrew from the rest of the tour. The tour was cancelled although it had been scheduled to continue until April 2010.
Mr Topol, 75, has since recovered and has returned to the stage in North America, where he is currently playing Dr Zarkov in Flash Gordon, a stage adaptation of the comic strip.
He has not yet decided whether to accept the Lloyds offer.