When trying to modify or create a storage policy with 'host based rules' checked, all datastores showing incompatible, despite meeting the needs of the policy.
Storage IO Filter providers per host may be missing from vCenter
VCF 9.0
This is due to certificate issues with ESXi host, which effects the storage providers. Due to this, all datastores related to those hosts will show incompatible
Renew certificates on the host by following: Renew or Refresh ESX Certificates 9.0
Once renewed on each host, re-sync the storage providers: Managing Storage Providers 9.0
Datastores should now show compatible to storage policies with Host Based Rules.