HIH Insurance founder Ray Williams has been released from jail, expressing regret for the $5.3 billion collapse of the insurance giant in 2001.

Mr Williams, jailed in 2005 for four-and-a-half years, told reporters gathered outside Sydney's Silverwater jail last month he was "very sorry" for the demise of HIH and the financial loss suffered was the "last thing in the world I would want".

The 71-year old must report to police once a week, cannot leave NSW without permission and is banned from managing a corporation for 10 years.

Former HIH executives Brad Cooper and Dominic Fodera are due for parole in 2010. Former director Rodney Adler was released three months before Mr Williams.