This tip will help you with milky headlights.What you will need is a sheet of 2000 grit wet and dry and cutting compound
Method-firstly Use wet and dry(wet) and sand your headlights,dont be affraid to use abit of elbow grease.
Secondly,apply cutting compound and polish headlights,do it a couple of times and you will have new lights.this works a treat.
regards.