The actual name of a policy is just for your own reference (no one else sees what you name it), so that if you have several different policies of the same kind (which is likely for postage at least, because you may need to charge different postage prices for different items, and/or offer different services), you can easily pick it out from the dropdown menu when creating a new listing.
For example, I have business policies on this account, and I have a few different postage policies set up. One is for small items that can go as a letter, so the name of that policy is 'letter rates'. Other items need to go as parcel rates, so that policy is 'parcel rates', some items go as letters but I will only send by registered mail, so that policy is 'registered letters'. When I list an item, I choose the appropriate policy and all the info is then pre-filled.
