Infectious diseases, such as bovine virus diarrhoea (BVD) virus infections in cattle, are often studied by Markov chain models. However, it is difficult to simulate dynamic interactions between production of a reproductive herd and the disease by this type of model. As an alternative, a dynamic stochastic model simulating the herd production was suggested. A dynamic stochastic model simulating the effect of BVD virus infection in a dairy cattle herd was used to exemplify how this type of model could be applied in research. The simulation example demonstrated that the effect of a BVD virus infection depended on the characteristics of the individual herd.