An escalation policy is a resource in which you define who is included in the notification loop when a monitor fails. You can select multiple people to be in your escalation policy, these policies are required for creating a monitor.
The policy name is there to help you identify the policy later when you are looking at the different places it appears. While you can repeat the name of the policy it is not suggested.
Once you have a policy created it’s time to move on to creating a monitor.