term:

Policy

policy n

pl: -cies
: an overall plan, principle, or guideline
;esp
: one formulated outside of the judiciary [obligated to consider legislative on the matter in their decision]
n pl: -cies
: a contract of insurance
;also
: the written instrument of such a contract

Source: Merriam-Webster's Dictionary of Law ©1996. Merriam-Webster, Incorporated. Published under license with Merriam-Webster, Incorporated.