A method for determining similarity of two policies includes providing a first policy with n rules and a second policy with m rules, wherein each rule is structured into a plurality of identifiable elements, categorizing the rules in each policy based on an action, for each pair of rules finding those predicates whose attribute names match, computing an attribute similarity score for the attribute values, summing the attribute similarity scores for all pairs to obtain an element similarity score, and computing a rule similarity score for the pair of rules from a weighted sum of said element similarity scores.