pol·i·cy1 / ˈpäləsē/ • n. (pl. -cies) a course or principle of action adopted or proposed by a government, party, business, or individual: the administration's controversial economic policies | it is not company policy to dispense with our older workers. ∎ archaic prudent or expedient conduct or action: a course of policy and wisdom. pol·i·cy2 • n. (pl. -cies) 1. a contract of insurance: they took out a joint policy. 2. an illegal lottery or numbers game.
The general principles by which a government is guided in its management of public affairs, or the legislature in its measures. A general term used to describe all contracts of insurance.
As applied to a law, ordinance, orrule of law, the general purpose or tendency considered as directed to the welfare or prosperity of the state or community.