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Problem

When utilizing the "test connection" feature the result indicates insufficient permissions.

This may be related to SQL instance not showing under applications to backup.

Example:

 

Solution

Disable/enable user permission for instance backup. 

  1. In Microsoft SQL Server Management Studio (in instance)

    Security>Logins>NT AUTHORITY\SYSTEM> [right click]>Properties

  2. Navigate to Server Roles and check "sysadmin" box, click OK

  3. Test connectivity should now show everything OK