Is there no end to the Viagra saga? The Margin can now report that hundreds of people are apparently taking out cut-price insurance against impotence in the wake of the emergence of the "wonderdrug" Viagra. British underwriters Goodfellow Rebecca Ingrams Parson halved their £100 annual premium on their delicately named "Erection All Risks" policy this week after independent research revealed the effectiveness of the impotence drug.

The policy pays for medical treatment for impotent men, other than those with pre-existing medical conditions, which will include a supply of Viagra at £6 a pop when it becomes licensed in the next few months. Simon Burgess, GRIP's managing partner, said demand for the policy had "sky rocketed" from women who want to ensure their sex lives as well as from men. He said: "Viagra's very good for us, in the business sense that is. We have had an enormous interest in the policy there has been a 200 per cent increase in demand.

"We have clients who are unfaithful, husbands who are concerned that if their wife finds out they will be `Bobbitted', and women who want to have the money to go out and buy gigolos if their husband is not able to perform. Between 5 and 10 per cent are women purchasing a policy for their husband."