You can completely remove the haze if you don't mind the sky turning black. If you want to keep the sky then you will to keep at least some haze or atmospheric blue, and then the question is how you balance that between the sky and the terrain. If you reduce the haze density or atmospheric blue density but want to keep the sky the same, you should increase the "half heights" to compensate ("exp height" in Terragen 2). For example, if you use 1/10th of the density, use 10x the half height. This should keep the sky looking the same if your camera has an altitude of 0. At other altitudes you might need to experiment with different half heights to get the sky you want.
Matt