Penniless Leicester took the jackpot with two late goals after a wonder strike by Richie Partridge seemed destined to put the Foxes to the sword.
Brian Deane grabbed Leicester's winner with just a minute remaining, but there was still time for more drama when Nicky Summerbee was shown a straight red card in stoppage time for kicking out at Gary McAllister in an off the ball incident.
Coventry looked on their way to three points after taking the lead on 53 minutes, only to be hauled back by a Gerry Taggart goal 15 minutes from the end.
In an uneventful first half they came to life briefly after 16 minutes when Paul Dickov raced on to an Andrew Impey through ball before rounding Gary Caldwell only to see his 15-yard shot beat the keeper but cannon to safety off a post.
Coventry took a surprised lead on 53 minutes with a superb solo goal from Partridge, on loan from Liverpool until the end of the season.
The ball fell nicely for Partridge after a midfield challenge between Billy McKinlay and Mo Konjic. The young midfielder then showed tremendous pace to run from halfway and waltz beyond Matt Elliott before firing a 12-yard shot beyond the advancing Ian Walker.
It seemed it would be Coventry's night after Morten Hyldgaard had denied Dickov with a superb acrobatic save.
But that all changed on 75 minutes when Alan Rogers swung over a corner from the right. Taggart's half-hit shot from close range was blocked by the keeper, but the ball fell kindly for the Northern Ireland defender who managed to bundle the loose ball over the line.
Leicester surged forward in search of a dramatic winner and that duly arrived on 88 minutes when McKinlay fed Muzzy Izzet out on the right and his cross found Deane, whose flying header left the keeper with no chance