Vad Àr policy? Vad Àr policy? A plan or course of action, as of a government, political party, or business, intended to influence and determine decisions, actions, and other matters: American foreign policy; the company's personnel policy. A course of action, guiding principle, or procedure considered expedient, prudent, or advantageous: Honesty is the best policy. Prudence, shrewdness, or sagacity in practical matters.A written contract or certificate of insurance.A numbers game.