The city may obtain, or aid in obtaining, from any department or agency of the United States or of the state of California or any private company, any insurance or guarantee as to, or of, or for the payment or repayment of, interest, principal, rents, fees or other charges or any part thereof on any loan, lease or obligation or any instrument evidencing or securing the same, made or entered into pursuant to the provisions of this chapter; and may enter into any agreement, contract or any other instrument whatsoever with respect to that insurance or guarantee; and may accept payment in such manner and form as provided therein in the event of default by a participating party and may assign any such insurance or guarantee as security for bonds. (Prior code § 80.02.008)