HONG KONG (Bloomberg) - Allied World Assurance Co., an insurer co-founded by American International Group Inc. (AIG), plans to double its Asia team in 12 months to help drive expansion in a region where economic growth is raising demand for insurance.

The Bermuda-based insurer may grow its team of about a dozen people to as many as 30, CEO Scott Carmilani said in an interview in Hong Kong late on Wednesday. Allied World aims to generate 10 percent of its revenue in Asia to diversify its income sources, he added.

The insurer, which was created in November 2001 by AIG and Chubb Corp. to help fill a void in the industry after the September 11 terror attacks, targets global revenue of $2 billion this year, he added. Allied World yesterday announced the opening of its maiden Asia office in Hong Kong to tap the region's faster economic growth and expanding demand for specialised insurance policies.

"While that may be slowing down in 2009, overall in the grand scheme of things, it's still growing faster than anywhere else in the world and it creates a lot of opportunities for us," Mr. Carmilani said.

The insurer hired Bill Cotter, a former executive of Cigna Corp. and AIG, as its Hong Kong-based senior vice-president for Asia to oversee regional operations, the company said in an e-mailed statement on Wednesday.

Before opening the Hong Kong office, Allied World offered casualty insurance policies in Asia through its London office.

It plans to sell professional liability policies, such as directors and officers liability insurance, as the first product offering in the region after the Hong Kong office opening. Allied World will also offer reinsurance in Singapore.

While the insurance markets in Hong Kong and Singapore are already competitive, "we're not doing it in what I would call a standard way", Mr. Carmilani said. "We're trying to offer specialised products."

Allied World further plans to sell professional indemnity, accident and health insurance as well as property catastrophe policies in Asia, he said.