diff --git a/awx/api/serializers.py b/awx/api/serializers.py
index 09066a4871..00a90b2653 100644
--- a/awx/api/serializers.py
+++ b/awx/api/serializers.py
@@ -4801,6 +4801,18 @@ class InstanceGroupSerializer(BaseSerializer):
                 raise serializers.ValidationError(_('Isolated instances may not be added or removed from instances groups via the API.'))
             if self.instance and self.instance.controller_id is not None:
                 raise serializers.ValidationError(_('Isolated instance group membership may not be managed via the API.'))
+        if value and self.instance.is_containerized:
+            raise serializers.ValidationError(_('Containerized instances may not be managed via the API'))
+        return value
+
+    def validate_policy_instance_percentage(self, value):
+        if value and self.instance.is_containerized:
+            raise serializers.ValidationError(_('Containerized instances may not be managed via the API'))
+        return value
+
+    def validate_policy_instance_minimum(self, value):
+        if value and self.instance.is_containerized:
+            raise serializers.ValidationError(_('Containerized instances may not be managed via the API'))
         return value
 
     def validate_name(self, value):
diff --git a/awx/api/views/__init__.py b/awx/api/views/__init__.py
index 23e66810fe..dd31948acf 100644
--- a/awx/api/views/__init__.py
+++ b/awx/api/views/__init__.py
@@ -383,6 +383,13 @@ class InstanceGroupDetail(RelatedJobsPreventDeleteMixin, RetrieveUpdateDestroyAP
     serializer_class = serializers.InstanceGroupSerializer
     permission_classes = (InstanceGroupTowerPermission,)
 
+    def update_raw_data(self, data):
+        if self.get_object().is_containerized:
+            data.pop('policy_instance_percentage', None)
+            data.pop('policy_instance_minimum', None)
+            data.pop('policy_instance_list', None)
+        return super(InstanceGroupDetail, self).update_raw_data(data)
+
     def destroy(self, request, *args, **kwargs):
         instance = self.get_object()
         if instance.controller is not None: