Section 51059 Of Chapter 4. General Powers From California Health And Safety Code >> Division 31. >> Part 3. >> Chapter 4.

. The agency may procure insurance or coinsurance or guarantees from the federal government or from any governmental agency or instrumentality thereof, or from any private insurance company, of the payment of principal, redemption price of, and interest on any bonds issued by the agency. The agency may pay premiums on any such insurance.