Hello D365 Admin,
Thank you for posting your query here!
In the Azure portal, check the health status of your VM to ensure there are no underlying problems with the VM itself that might be affecting disk operations.
Sometimes, detaching the disk from the VM and then reattaching it can resolve the issue.
Also, if you have Azure Backup configured, you may be able to restore the disk from a backup point.
In case the disk continues to fail or exhibit issues, consider replacing it with a new disk. Azure provides options to replace disks without losing data, such as attaching a new disk and migrating data.
I hope this helps! Please let me know if the issue persists or if you have any other questions.