The board may obtain and maintain insurance coverage or protection, insuring or indemnifying the authority, in an amount sufficient to provide for the adjustment and satisfaction of all suits, claims, demands, rights and causes of action and payment and satisfaction of all judgments entered against the authority for damages caused by injury to or death of any person and for damaged property resulting from the construction, maintenance and operation of the transportation system. The cost of obtaining or maintaining such insurance may be charged to a special liability defense fund as provided by K.S.A. 75-6110 et seq., designated for such expenses by the Urban Mass Transit Authority Regulations.

Notwithstanding the foregoing provision regarding election of the account to be charged the cost of obtaining or maintaining insurance, the board may provide for the cost of defense as authorized by the Kansas Tort Claims Act (K.S.A. 75-6101 et seq.), including acquisition of insurance coverage through interlocal cooperation agreements, for pooling arrangements. (Ord. 52 § 5, 2-21-81.)