ATLANTA – Insurance and Safety Fire Commissioner John F. King announced today that Peggy Pelham, 68, and Rachel Keith, 44, have pleaded guilty to insurance fraud involving a fire loss in 2018.

On July 2nd of 2018, a home was totally destroyed by fire at 131 Friendship Church Road in Gray, Georgia. Following the incident, Ms. Pelham, the owner of the property, filed an insurance claim with Georgia Farm Bureau for nearly $200,000 for loss of personal property. Ms. Keith filed a similar claim worth $107,000 with her insurance company, Lemonade LLC.

“While investigators were unable to determine the cause of the fire, evidence suggested that neither party lost the significant amounts of personal property cited in their insurance claims,” said Commissioner King. “Ms. Pelham moved to Savannah in June of 2018 and was renting out the apartment to Rachel Keith and her boyfriend. Investigators found that Ms. Keith’s property was not in the residence at the time of the loss."

Ms. Pelham and Ms. Keith accepted plea deals for five years’ probation and ten years’ probation, respectively.

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The mission of the Office Commissioner of Insurance and Safety Fire is to protect Georgia families by providing access to vital insurance products and safe buildings through fair regulation that creates economic opportunities for all Georgians.

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