Inline policies are exclusive to AWS IAM identities, which include users, groups, and roles. These are policies that you create and manage and are directly embedded into a single IAM identity. Unlike managed policies, which can be attached to multiple IAM identities, inline policies are strictly one-to-one; they are an integral part of the IAM identity to which they are attached. This means that if the user, group, or role is deleted, the inline policy is also deleted. Inline policies are typically used for ensuring that specific permissions are tightly bound to an IAM identity and are not inadvertently assigned elsewhere.
References: The information provided is based on the AWS documentation on IAM policies, which outlines the different types of policies and their use cases, including the unique characteristics of inline policies12. For the most accurate and detailed reference, it is recommended to consult the official documents and study guides from the Certified Network Defender (CND) course by the EC-Council.