In ice-infested waters, propellers of a polar ship are likely to be exposed to ice loads in different scenarios. Propeller milling with ice is one of the most dangerous cases for icepropeller interaction. In this study, we try to simulate dynamic milling process of icepropeller and reproduce resulting physical phenomena. Cohesive element method is used to model ice in the simulation. To simulate material properties of ice, an elastoplastic softening constitutive law is developed. Both crushing and fracture failures are included in the icepropeller milling process. The ice loads in 6 Dofs acting on blades of a propeller are calculated in time domain. The average and standard deviations of simulated dominant ice loads are compared with those from model test. A good agreement is achieved. By varying propeller rotation speed, advance velocity and cutting depth on ice block, the sensitivity study has been carried out. The results show that dominant ice loads are affected much by the three parameters. It is shown that decreasing rotation speed, or increasing advance velocity and cutting depth may lead to higher ice loads. Care should be taken to avoid overloading on propeller when operating in ice for polar ship.