diff --git a/CHANGELOG.md b/CHANGELOG.md
index 0c2bd27..338679d 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,5 +1,10 @@
 # Change Log
 
+## v2.1.2
+
+- Dependency updates
+- Fix bug where `AzureAuthEnabled` setting was not correctly picked up from context
+
 ## v2.1.1
 
 - Dependency updates
diff --git a/azsettings/settings.go b/azsettings/settings.go
index 117e65f..4a02f6e 100644
--- a/azsettings/settings.go
+++ b/azsettings/settings.go
@@ -61,8 +61,10 @@ func ReadFromContext(ctx context.Context) (*AzureSettings, bool) {
 		return settings, false
 	}
 
+	hasSettings := false
 	if v := cfg.Get(AzureAuthEnabled); v == strconv.FormatBool(true) {
 		settings.AzureAuthEnabled = true
+		hasSettings = true
 	}
 
 	if customCloudsJSON := cfg.Get(AzureCustomCloudsConfig); customCloudsJSON != "" {
@@ -70,9 +72,11 @@ func ReadFromContext(ctx context.Context) (*AzureSettings, bool) {
 		if err := settings.SetCustomClouds(customCloudsJSON); err != nil {
 			backend.Logger.Error("Error setting custom clouds:  %w", err)
 		}
+		if settings.CustomCloudListJSON != "" {
+			hasSettings = true
+		}
 	}
 
-	hasSettings := false
 	if v := cfg.Get(AzureCloud); v != "" {
 		settings.Cloud = v
 		hasSettings = true