---
title: Function App managed identity disabled
description: Datadog, the leading service for cloud-scale monitoring.
breadcrumbs: >-
  Docs > Datadog Security > Code Security > Infrastructure as Code (IaC)
  Security > IaC Security Rules > Function App managed identity disabled
---

# Function App managed identity disabled

{% callout %}
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{% alert level="danger" %}
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## Metadata{% #metadata %}

**Id:** `terraform-azure-function-app-managed-identity-disabled` 

**Provider:** Azure

**Platform:** Terraform

**Severity:** Medium

**Category:** Insecure Configurations

#### Learn More{% #learn-more %}

- [Provider Reference](https://registry.terraform.io/providers/hashicorp/azurerm/latest/docs/resources/function_app#identity)

### Description{% #description %}

Azure Function Apps should have managed identities enabled to allow for secure authentication to Azure services without the need for hard-coded credentials. If the `identity` block is omitted in a Terraform resource, as in the example below, the Function App will not have a managed identity and may rely on less secure methods, such as embedding credentials in code or configuration:

```
resource "azurerm_function_app" "insecure" {
  name                       = "test-azure-functions"
  location                   = azurerm_resource_group.example.location
  resource_group_name        = azurerm_resource_group.example.name
  app_service_plan_id        = azurerm_app_service_plan.example.id
  storage_account_name       = azurerm_storage_account.example.name
  storage_account_access_key = azurerm_storage_account.example.primary_access_key
}
```

Enabling a managed identity using the `identity { type = "SystemAssigned" }` block in your configuration ensures secure service-to-service communication and reduces the risk of credential leakage:

```
resource "azurerm_function_app" "secure" {
  name                       = "test-azure-functions"
  location                   = azurerm_resource_group.example.location
  resource_group_name        = azurerm_resource_group.example.name
  app_service_plan_id        = azurerm_app_service_plan.example.id
  storage_account_name       = azurerm_storage_account.example.name
  storage_account_access_key = azurerm_storage_account.example.primary_access_key

  identity {
    type = "SystemAssigned"
  }
}
```

Leaving this unaddressed may expose sensitive data or allow unauthorized access to connected Azure resources through weaker authentication mechanisms.

## Compliant Code Examples{% #compliant-code-examples %}

```terraform
resource "azurerm_function_app" "negative" {
  name                       = "test-azure-functions"
  location                   = azurerm_resource_group.example.location
  resource_group_name        = azurerm_resource_group.example.name
  app_service_plan_id        = azurerm_app_service_plan.example.id
  storage_account_name       = azurerm_storage_account.example.name
  storage_account_access_key = azurerm_storage_account.example.primary_access_key

  identity {
    type = "SystemAssigned"
  }
}
```

## Non-Compliant Code Examples{% #non-compliant-code-examples %}

```terraform
resource "azurerm_function_app" "positive1" {
  name                       = "test-azure-functions"
  location                   = azurerm_resource_group.example.location
  resource_group_name        = azurerm_resource_group.example.name
  app_service_plan_id        = azurerm_app_service_plan.example.id
  storage_account_name       = azurerm_storage_account.example.name
  storage_account_access_key = azurerm_storage_account.example.primary_access_key
}
```