After installing Single-session OS VDA 2209 or 2203 LTSR CU2 (or later), Windows Hello for Business can no longer be disabled via Microsoft Intune.
To allow Microsoft Intune to manage Windows Hello for Business settings, delete the registry value HKLM\SOFTWARE\Policies\Microsoft\PassportForWork\Enabled.
After installing Single-session OS VDA 2209 or 2203 LTSR CU2 (or later), the registry value HKLM\SOFTWARE\Policies\Microsoft\PassportForWork\Enabled is set to 1, which takes precedence over the Microsoft Intune policy.