Quick Answer
The answer is Microsoft Purview Message Encryption, as it is the Microsoft 365 service specifically designed to encrypt patient health information (PHI) at rest within email messages. This tool ensures that sensitive data remains protected both during transit and while stored on Microsoft servers, directly supporting HIPAA compliance requirements for data-at-rest encryption. On the SC-900 exam, this question tests your ability to distinguish between encryption, detection, and labeling controls—a common trap is confusing Data Loss Prevention (DLP), which only detects PHI, with Purview Message Encryption, which actually encrypts it. Remember that sensitivity labels can mark content but do not enforce encryption by default, and Customer Key adds a layer of control but is not the primary method for email encryption. A helpful memory tip: think of Purview Message Encryption as the “lock” for PHI in emails, while DLP is just the “alarm.”
This SC-900 practice question tests your understanding of describe the capabilities of microsoft compliance solutions. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
You are designing a compliance solution for a healthcare organization that must comply with HIPAA. You need to ensure that patient health information (PHI) is encrypted at rest in Microsoft 365. What should you use?
Microsoft Purview Message Encryption
Encrypts email messages with PHI.
Data Loss Prevention (DLP) policies
Why wrong: DLP policies detect sensitive data but do not encrypt.
Sensitivity labels
Why wrong: Labels can mark content but encryption requires additional configuration.
Customer Key
Why wrong: Customer Key provides control over encryption keys but is not directly for email encryption.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Microsoft Purview Message Encryption
Option A is correct because Microsoft Purview Message Encryption allows encrypting email messages containing PHI. Option B is wrong because DLP detects but does not encrypt. Option C is wrong because sensitivity labels can mark content but do not enforce encryption by default. Option D is wrong because Customer Key provides additional encryption but is not the primary method for email encryption.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
Microsoft Purview Message Encryption
Why this is correct
Encrypts email messages with PHI.
Related concept
Static NAT maps one inside address to one outside address.
Data Loss Prevention (DLP) policies
Why it's wrong here
DLP policies detect sensitive data but do not encrypt.
Sensitivity labels
Why it's wrong here
Labels can mark content but encryption requires additional configuration.
Customer Key
Why it's wrong here
Customer Key provides control over encryption keys but is not directly for email encryption.
Common exam traps
NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.
Detailed technical explanation
NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
Real-world example
A cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.
What to study next
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-900 NAT questions on configuration and troubleshooting.
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FAQ
Describe the capabilities of Microsoft compliance solutions — This question tests Describe the capabilities of Microsoft compliance solutions — Static NAT maps one inside address to one outside address..
The correct answer is: Microsoft Purview Message Encryption — Option A is correct because Microsoft Purview Message Encryption allows encrypting email messages containing PHI. Option B is wrong because DLP detects but does not encrypt. Option C is wrong because sensitivity labels can mark content but do not enforce encryption by default. Option D is wrong because Customer Key provides additional encryption but is not the primary method for email encryption.
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related SC-900 NAT questions on configuration and troubleshooting.
Static NAT maps one inside address to one outside address.
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Last reviewed: Jun 21, 2026
This SC-900 practice question is part of Courseiva's free Microsoft certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the SC-900 exam.
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