Bacon-Potato Corn Chowder

1/2 pound bacon strips, chopped
1/4 cup chopped onion
1-1/2 pounds Yukon Gold potatoes (about 5 medium), peeled and cubed
1 can (14-3/4 ounces) cream-style corn
1 can (12 ounces) evaporated milk
1/4 teaspoon salt
1/4 teaspoon pepper

In a large skillet, cook bacon over medium heat until crisp, stirring occasionally. Remove with a slotted spoon; drain on paper towels. Discard drippings, reserving 1-1/2 teaspoons in pan. Add onion to drippings; cook and stir over medium-high heat until tender.
Meanwhile, place potatoes in a large saucepan; add water to cover. Bring to a boil over high heat. Reduce heat to medium; cook, uncovered, 10-15 minutes or until tender. Drain, reserving 1 cup potato water.
Add corn, milk, salt, pepper, potatoes and reserved potato water to saucepan; heat through. Stir in bacon and onion.