What do Identity and Access Management (IAM) policies ensure?

Identity and Access Management (IAM) policies are fundamentally designed to ensure that the right individual has the right access to the right resources at the right time. This involves defining roles and permissions efficiently so that users can only access information and systems necessary for their jobs while maintaining the security of the overall environment. IAM policies help prevent unauthorized access and ensure compliance with relevant regulations by meticulously managing who can access which resources, thereby mitigating risks associated with inappropriate access.

The other options do not align with the primary function of IAM policies. Unrestricted access would lead to security vulnerabilities, as it would not limit users to only their necessary resources. Automated security updates and data encryption during transmission are significant aspects of network security but fall outside the specific realm of IAM, which focuses more on the management of users' identities and their access rights rather than system update processes or data protection during transmission.