HIH creditors will recover more of their lost money after liquidator Tony McGrath settled a $450 million claim against the collapsed insurer’s financial advisers and reinsurers.

Six years after lodging the claim, Mr McGrath has secured an undisclosed sum from three companies which acted as financial advisers and reinsurers to FAI Insurance when it was acquired for $300 million in 1998.

Goldman Sachs Australia, Gen Re and Guy Carpenter were defendants in the case. They have agreed in the NSW Supreme Court to settle with Mr McGrath.

The case centred on the 1998 purchase of FAI Insurance for $300 million – with all but $25 million represented as goodwill – and advice given to HIH surrounding the deal.

Prior to the acquisition, HIH purchased two shonky financial reinsurance policies which effectively converted a projected $50 million loss into an $8 million pre-tax profit.

Earlier this month, HIH creditors were given a reprieve following a backdown by a partner of its former auditing firm. The lone holdout, one of 117 former partners of dissolved firm Arthur Andersen, had stood in the way of settlement.

In April last year, Mr McGrath was given the green light to accept a $98 million settlement from reinsurer General Re.

HIH is due to be fully liquidated by 2014.