I have created a conditional access policy to only allow access to an application (Zendesk) where we use Azure AD Single Sign-on. The policy does work if I select MFA or if I exclude my trusted IPs.
Every setting will take effect on the policy with the single exception of the "Require device to be marked as compliant" option under Grant Access. This will simply prevent access because after logging in, the device being use is not recognized as a compliant device... however in Intune and in Azure AD the device is defined as compliant.
This is frustrating because we don't want to prompt for MFA on approved devices, i.e., company provided/managed laptops for our remote employees.
Has anyone been able to use this policy and if so, can you shed any light on why this might be an issue?