diff --git a/azurerm/resource_arm_virtual_machine_scale_set.go b/azurerm/resource_arm_virtual_machine_scale_set.go
index a48cb0cc1014..13e3fb25003e 100644
--- a/azurerm/resource_arm_virtual_machine_scale_set.go
+++ b/azurerm/resource_arm_virtual_machine_scale_set.go
@@ -299,7 +299,7 @@ func resourceArmVirtualMachineScaleSet() *schema.Resource {
 					Schema: map[string]*schema.Schema{
 						"name": {
 							Type:     schema.TypeString,
-							Required: true,
+							Optional: true,
 						},
 
 						"image": {
@@ -1182,6 +1182,10 @@ func expandAzureRMVirtualMachineScaleSetsStorageProfileOsDisk(d *schema.Resource
 	createOption := osDiskConfig["create_option"].(string)
 	managedDiskType := osDiskConfig["managed_disk_type"].(string)
 
+	if managedDiskType == "" && name == "" {
+		return nil, fmt.Errorf("[ERROR] `name` must be set in `storage_profile_os_disk` for unmanaged disk")
+	}
+
 	osDisk := &compute.VirtualMachineScaleSetOSDisk{
 		Name:         &name,
 		Caching:      compute.CachingTypes(caching),
@@ -1207,13 +1211,13 @@ func expandAzureRMVirtualMachineScaleSetsStorageProfileOsDisk(d *schema.Resource
 	managedDisk := &compute.VirtualMachineScaleSetManagedDiskParameters{}
 
 	if managedDiskType != "" {
-		if name == "" {
-			osDisk.Name = nil
-			managedDisk.StorageAccountType = compute.StorageAccountTypes(managedDiskType)
-			osDisk.ManagedDisk = managedDisk
-		} else {
-			return nil, fmt.Errorf("[ERROR] Conflict between `name` and `managed_disk_type` on `storage_profile_os_disk` (please set name to blank)")
+		if name != "" {
+			return nil, fmt.Errorf("[ERROR] Conflict between `name` and `managed_disk_type` on `storage_profile_os_disk` (please remove name or set it to blank)")
 		}
+
+		osDisk.Name = nil
+		managedDisk.StorageAccountType = compute.StorageAccountTypes(managedDiskType)
+		osDisk.ManagedDisk = managedDisk
 	}
 
 	//BEGIN: code to be removed after GH-13016 is merged
diff --git a/azurerm/resource_arm_virtual_machine_scale_set_test.go b/azurerm/resource_arm_virtual_machine_scale_set_test.go
index 4687c39247d0..17a62edfbb96 100644
--- a/azurerm/resource_arm_virtual_machine_scale_set_test.go
+++ b/azurerm/resource_arm_virtual_machine_scale_set_test.go
@@ -97,6 +97,24 @@ func TestAccAzureRMVirtualMachineScaleSet_basicLinux_managedDisk(t *testing.T) {
 	})
 }
 
+func TestAccAzureRMVirtualMachineScaleSet_basicLinux_managedDiskNoName(t *testing.T) {
+	ri := acctest.RandInt()
+	config := fmt.Sprintf(testAccAzureRMVirtualMachineScaleSet_basicLinux_managedDiskNoName, ri, ri, ri, ri, ri, ri)
+	resource.Test(t, resource.TestCase{
+		PreCheck:     func() { testAccPreCheck(t) },
+		Providers:    testAccProviders,
+		CheckDestroy: testCheckAzureRMVirtualMachineScaleSetDestroy,
+		Steps: []resource.TestStep{
+			{
+				Config: config,
+				Check: resource.ComposeTestCheckFunc(
+					testCheckAzureRMVirtualMachineScaleSetExists("azurerm_virtual_machine_scale_set.test"),
+				),
+			},
+		},
+	})
+}
+
 func TestAccAzureRMVirtualMachineScaleSet_basicLinux_disappears(t *testing.T) {
 	ri := acctest.RandInt()
 	config := fmt.Sprintf(testAccAzureRMVirtualMachineScaleSet_basic, ri, ri, ri, ri, ri, ri, ri, ri)
@@ -898,6 +916,68 @@ resource "azurerm_virtual_machine_scale_set" "test" {
 }
 `
 
+var testAccAzureRMVirtualMachineScaleSet_basicLinux_managedDiskNoName = `
+resource "azurerm_resource_group" "test" {
+    name = "acctestRG-%d"
+    location = "West US 2"
+}
+
+resource "azurerm_virtual_network" "test" {
+    name = "acctvn-%d"
+    address_space = ["10.0.0.0/16"]
+    location = "West US 2"
+    resource_group_name = "${azurerm_resource_group.test.name}"
+}
+
+resource "azurerm_subnet" "test" {
+    name = "acctsub-%d"
+    resource_group_name = "${azurerm_resource_group.test.name}"
+    virtual_network_name = "${azurerm_virtual_network.test.name}"
+    address_prefix = "10.0.2.0/24"
+}
+
+resource "azurerm_virtual_machine_scale_set" "test" {
+  name = "acctvmss-%d"
+  location = "West US 2"
+  resource_group_name = "${azurerm_resource_group.test.name}"
+  upgrade_policy_mode = "Manual"
+
+  sku {
+    name = "Standard_D1_v2"
+    tier = "Standard"
+    capacity = 2
+  }
+
+  os_profile {
+    computer_name_prefix = "testvm-%d"
+    admin_username = "myadmin"
+    admin_password = "Passwword1234"
+  }
+
+  network_profile {
+      name = "TestNetworkProfile-%d"
+      primary = true
+      ip_configuration {
+        name = "TestIPConfiguration"
+        subnet_id = "${azurerm_subnet.test.id}"
+      }
+  }
+
+  storage_profile_os_disk {
+    caching       = "ReadWrite"
+    create_option = "FromImage"
+    managed_disk_type = "Standard_LRS"
+  }
+
+  storage_profile_image_reference {
+    publisher = "Canonical"
+    offer     = "UbuntuServer"
+    sku       = "16.04-LTS"
+    version   = "latest"
+  }
+}
+`
+
 var testAccAzureRMVirtualMachineScaleSetLoadbalancerTemplate = `
 resource "azurerm_resource_group" "test" {
     name 	 = "acctestrg-%d"
diff --git a/website/docs/r/virtual_machine_scale_set.html.markdown b/website/docs/r/virtual_machine_scale_set.html.markdown
index d13404fc7db8..951376d8f375 100644
--- a/website/docs/r/virtual_machine_scale_set.html.markdown
+++ b/website/docs/r/virtual_machine_scale_set.html.markdown
@@ -325,7 +325,7 @@ The following arguments are supported:
 
 `storage_profile_os_disk` supports the following:
 
-* `name` - (Required) Specifies the disk name. Value must be blank (`""`) when `managed_disk_type` is specified. 
+* `name` - (Optional) Specifies the disk name. Must be specified when using unmanaged disk ('managed_disk_type' property not set).
 * `vhd_containers` - (Optional) Specifies the vhd uri. Cannot be used when `image` or `managed_disk_type` is specified.
 * `managed_disk_type` - (Optional) Specifies the type of managed disk to create. Value you must be either `Standard_LRS` or `Premium_LRS`. Cannot be used when `vhd_containers` or `image` is specified.
 * `create_option` - (Required) Specifies how the virtual machine should be created. The only possible option is `FromImage`.