A company is enabling Azure Disk Encryption (ADE) on Windows virtual machines. They have enabled soft-delete on Azure Key Vault and configured a Key Encryption Key (KEK). However, the disk encryption fails with an error indicating that the key vault does not have the required permissions. What is the most likely missing configuration?
Answer choices
Why each option matters
Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.
Best answer
The Key Vault access policy does not grant the Azure Disk Encryption service principal the 'unwrap key' and 'wrap key' permissions.
Correct. ADE requires the Azure Disk Encryption service principal to have these permissions to wrap and unwrap the disk encryption key using the KEK.
Distractor review
The Key Vault firewall is blocking the Azure platform.
Incorrect. While a firewall can block access, the error message specifically mentions lack of permissions, not network connectivity. The question does not indicate firewall is enabled.
Distractor review
The VM does not have a managed identity assigned.
Incorrect. Azure Disk Encryption does not require a managed identity on the VM. It uses the Azure Disk Encryption service principal (a platform identity) to access Key Vault.
Distractor review
The KEK is in a different Azure region than the VM.
Incorrect. Cross-region KEK is supported, though best practice is same region. It would not cause a permission error.
Common exam trap
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Technical deep dive
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Related practice questions
Related AZ-500 practice-question pages
Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.
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Keep practising from the same exam bank, or move into a focused topic page if this question exposed a weak area.
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FAQ
Questions learners often ask
What does this AZ-500 question test?
Read the scenario before looking for a memorised answer.
What is the correct answer to this question?
The correct answer is: The Key Vault access policy does not grant the Azure Disk Encryption service principal the 'unwrap key' and 'wrap key' permissions. — Azure Disk Encryption requires that the Azure Disk Encryption service principal (for Windows) has the appropriate cryptographic permissions in the Key Vault access policy: 'unwrap key' and 'wrap key' (and usually 'get'). Without these permissions, ADE cannot encrypt or decrypt the disk encryption key using the KEK. This is a common misconfiguration because the access policy must be explicitly set for the Azure service principal. Option A is correct. Option B could be an issue if the Key Vault firewall is enabled, but the question does not mention firewall, and soft-delete alone does not affect permissions. Option C is incorrect because ADE does not require a managed identity; it uses the Azure platform service principal. Option D is incorrect because the KEK can be in a different region, though same region is recommended.
What should I do if I get this AZ-500 question wrong?
Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.
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