The Department of Property and Supplies shall have the power, and its duty shall be:
The department shall pay for such insurance, out of the moneys appropriated to it, except that it shall not pay for insurance covering (1) officers, employes, or property of the departments, boards, and commissions, whose expenses are wholly paid out of funds other than the General Fund of the State Treasury; or (2) officers, employes, and property of departments, boards, and commissions receiving appropriations out of the General Fund for such purpose. Insurance covering the officers, employes, and property of such departments, boards, and commissions shall be paid for out of the special funds appropriated to them, or out of the moneys of the General Fund, appropriated to them, as the case may be.
All automobile liability insurance procured by the Department of Property and Supplies hereunder shall protect both the Commonwealth and the State officer or employe operating the vehicle, or State officers and employes and officers and enlisted men of the Pennsylvania National Guard, the Pennsylvania Reserve Corps, or its successor operating vehicles loaned by the Federal Government, against claims for damages for injury to person or property, within such limits as the department, with the approval of the Executive Board, shall prescribe.
71 P.S. § 634