During remote control the message "All Keyboard and mouse input is sent to the host" is a notification that what you type locally (on the client device) will appear remotely (at the host computer) when your cursor is in the remote control window.
This is not a keylogger or an indicator of any malicious activity. Nothing that you type is being logged or recorded. This is the function of LogMeIn that allows what you type to be executed on the host computer in the remote control session.
You may disconnect this function by pressing