diff --git a/src/confcom/azext_confcom/README.md b/src/confcom/azext_confcom/README.md
index 5b76f41ca1f..4b02b5a789d 100644
--- a/src/confcom/azext_confcom/README.md
+++ b/src/confcom/azext_confcom/README.md
@@ -30,6 +30,8 @@
     - [allow_unencrypted_scratch](#allow_unencrypted_scratch)
     - [allow_capabilities_dropping](#allow_capabilities_dropping)
 - [Microsoft Azure CLI 'confcom acifragmentgen' Extension Examples](#microsoft-azure-cli-confcom-acifragmentgen-extension-examples)
+  - [Types of Policy Fragments](#types-of-policy-fragments)
+  - [Examples](#examples)
 - [Microsoft Azure CLI 'confcom katapolicygen' Extension Examples](#microsoft-azure-cli-confcom-katapolicygen-extension-examples)
 
 ## Microsoft Azure CLI 'confcom acipolicygen' Extension Examples
@@ -665,6 +667,15 @@ Run `az confcom acifragmentgen --help` to see a list of supported arguments alon
 
 For information on what a policy fragment is, see [policy fragments](#policy-fragments). For a full walkthrough on how to generate a policy fragment and use it in a policy, see [Create a Key and Cert for Signing](../samples/certs/README.md).
 
+### Types of Policy Fragments
+
+There are two types of policy fragments:
+
+1. Image-attached fragments: These are fragments that are attached to an image in an ORAS-compliant registry. They are used to provide additional security information about the image and are to be used for a single image. Image-attached fragments are currently in development. Note that nested image-attached fragments are *not* supported.
+2. Standalone fragments: These are fragments that are uploaded to an ORAS-compliant registry independent of a specific image and can be used for multiple images. Standalone fragments are currently not supported. Once implemented, nested standalone fragments will be supported.
+
+### Examples
+
 **Examples:**
 
 Example 1: The following command creates a security fragment and prints it to stdout as well as saving it to a file `contoso.rego`: