Allianz sees 2009 profit in Taiwan, to stay in mkt

* Allianz sees Taiwan unit turning profitable in 2009

* No plans to exit Taiwan market

* Plans to expand Taiwan staff by over 20 pct this year

TAIPEI, April 21 - Allianz has no plans to exit Taiwan's insurance market, and expects to report a profit there this year, even as some foreign insurers leave to tackle their larger problems at home, the chief executive of the German insurer's Taiwan unit said on Tuesday.

"I'm confident we can turn a profit this year," Chris James told Reuters on the sidelines of a media briefing. "Our first quarter results were in line with our own internal expectations."

Allianz in Taiwan reported a loss of T$350 million ($10.3 million) in 2008.

James also said the company would expand its staff in Taiwan by more than 20 percent by the end of the year as it attempts to take a bigger piece of the pie. "We believe there're good prospects in Taiwan's market," James said. "We'll continue to cultivate the market."

Allianz employs 1,633 employees in Taiwan currently, and will increase this figure to 2,000 by the end of the year.

Allianz's move stands in stark contrast to its peers, many of whom have either left or announced their intention to exit Taiwan's highly competitive and saturated insurance market to focus on their bigger problems at home.

Prudential and ING have both sold much of their operations to local players, while American International Group Inc has been trying to sell its local Nan Shan Life unit as it attempts to shore up its own finances back home.