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IAG confident of growth in Asia


Insurance Australia Group (IAG) is stepping up its growth in Asia, where it aims to generate 10 per cent of its business within four years.

The insurance group, which owns Australian brands such as NRMA and CGU, had invested about $720 million in five Asian countries, chief executive Mike Wilkins told analysts on Tuesday.

Through acquisitions and investments, IAG now had established businesses in Thailand and Malaysia, and was building its presence in India, China and Vietnam, he said.

"The Asian opportunity is here and now," Mr Wilkins said.

"Over the past couple of years, we've quietly gone about our Asian strategy and are now getting real traction.

"We are entering an exciting phase of our Asian ambitions as we shift from a market entry focus to one of driving operational performance from our enlarged regional presence."

Middle class consumption in Asia, excluding Japan, was expected to nearly triple to about $US12 trillion ($A11.81 trillion) by 2020, Mr Wilkins said.

IAG aimed to be generating 10 per cent of its gross written premium in Asia by 2016, he said.

He also said IAG was continuing to focus on growth in Australia and New Zealand, and wanted to restore the profitability of its business in the United Kingdom.