@Vinod Survase, Thanks for posting in Q&A.
According to your description, I know that you want to know what does these settings/connectors do when we implement App protection policy via Intune.
Based on my researching, when you enabled support for Microsoft Defender for Endpoint in Intune, you established a service-to-service connection between Intune and Microsoft Defender for Endpoint. And then it enables collection of data about device risk levels. When you enable app protection policy evaluation, the app protection policies use the Device Threat Level rule will evaluate devices including data from this connector.
Here is a link with more information about app protection evaluation:
Configure Microsoft Defender for Endpoint in Microsoft Intune | Microsoft Learn
Thanks for your kind understanding.
If the answer is helpful, please click "Accept Answer" and kindly upvote it. If you have extra questions about this answer, please click "Comment".
Note: Please follow the steps in our documentation to enable e-mail notifications if you want to receive the related email notification for this thread.