diff --git a/README.md b/README.md
index bf23ba35..6accb7a1 100644
--- a/README.md
+++ b/README.md
@@ -80,6 +80,7 @@ Available targets:
 | Name | Description | Type | Default | Required |
 |------|-------------|:----:|:-----:|:-----:|
 | acl | The canned ACL to apply. We recommend `private` to avoid exposing sensitive information | string | `private` | no |
+| allow_encrypted_uploads_only | Set to `true` to prevent uploads of unencrypted objects to S3 bucket | string | `false` | no |
 | allowed_bucket_actions | List of actions the user is permitted to perform on the S3 bucket | list | `<list>` | no |
 | attributes | Additional attributes (e.g. `1`) | list | `<list>` | no |
 | delimiter | Delimiter to be used between `namespace`, `stage`, `name` and `attributes` | string | `-` | no |
@@ -105,7 +106,6 @@ Available targets:
 | bucket_domain_name | FQDN of bucket |
 | bucket_id | Bucket Name (aka ID) |
 | enabled | Is module enabled |
-| s3_bucket_arn | S3 bucket ARN |
 | secret_access_key | The secret access key. This will be written to the state file in plain-text |
 | user_arn | The ARN assigned by AWS for the user |
 | user_enabled | Is user creation enabled |
diff --git a/docs/terraform.md b/docs/terraform.md
index 3918b59b..3fe001b2 100644
--- a/docs/terraform.md
+++ b/docs/terraform.md
@@ -3,6 +3,7 @@
 | Name | Description | Type | Default | Required |
 |------|-------------|:----:|:-----:|:-----:|
 | acl | The canned ACL to apply. We recommend `private` to avoid exposing sensitive information | string | `private` | no |
+| allow_encrypted_uploads_only | Set to `true` to prevent uploads of unencrypted objects to S3 bucket | string | `false` | no |
 | allowed_bucket_actions | List of actions the user is permitted to perform on the S3 bucket | list | `<list>` | no |
 | attributes | Additional attributes (e.g. `1`) | list | `<list>` | no |
 | delimiter | Delimiter to be used between `namespace`, `stage`, `name` and `attributes` | string | `-` | no |
@@ -28,7 +29,6 @@
 | bucket_domain_name | FQDN of bucket |
 | bucket_id | Bucket Name (aka ID) |
 | enabled | Is module enabled |
-| s3_bucket_arn | S3 bucket ARN |
 | secret_access_key | The secret access key. This will be written to the state file in plain-text |
 | user_arn | The ARN assigned by AWS for the user |
 | user_enabled | Is user creation enabled |
diff --git a/main.tf b/main.tf
index 48cdb879..74a2bac6 100644
--- a/main.tf
+++ b/main.tf
@@ -46,3 +46,50 @@ module "s3_user" {
   s3_actions   = ["${var.allowed_bucket_actions}"]
   s3_resources = ["${join("", aws_s3_bucket.default.*.arn)}/*", "${join("", aws_s3_bucket.default.*.arn)}"]
 }
+
+data "aws_iam_policy_document" "bucket_policy" {
+  count = "${var.enabled == "true" && var.allow_encrypted_uploads_only == "true" ? 1 : 0}"
+
+  statement {
+    sid       = "DenyIncorrectEncryptionHeader"
+    effect    = "Deny"
+    actions   = ["s3:PutObject"]
+    resources = ["arn:aws:s3:::${aws_s3_bucket.default.id}/*"]
+
+    principals {
+      identifiers = ["*"]
+      type        = "*"
+    }
+
+    condition {
+      test     = "StringNotEquals"
+      values   = ["${var.sse_algorithm}"]
+      variable = "s3:x-amz-server-side-encryption"
+    }
+  }
+
+  statement {
+    sid       = "DenyUnEncryptedObjectUploads"
+    effect    = "Deny"
+    actions   = ["s3:PutObject"]
+    resources = ["arn:aws:s3:::${aws_s3_bucket.default.id}/*"]
+
+    principals {
+      identifiers = ["*"]
+      type        = "*"
+    }
+
+    condition {
+      test     = "Null"
+      values   = ["true"]
+      variable = "s3:x-amz-server-side-encryption"
+    }
+  }
+}
+
+resource "aws_s3_bucket_policy" "default" {
+  count  = "${var.enabled == "true" && var.allow_encrypted_uploads_only == "true" ? 1 : 0}"
+  bucket = "${join("", aws_s3_bucket.default.*.id)}"
+
+  policy = "${join("", data.aws_iam_policy_document.bucket_policy.*.json)}"
+}
diff --git a/outputs.tf b/outputs.tf
index 27154bdc..ef818c80 100644
--- a/outputs.tf
+++ b/outputs.tf
@@ -49,8 +49,3 @@ output "secret_access_key" {
   value       = "${module.s3_user.secret_access_key}"
   description = "The secret access key. This will be written to the state file in plain-text"
 }
-
-output "s3_bucket_arn" {
-  value       = "${join("", aws_s3_bucket.default.*.arn)}"
-  description = "S3 bucket ARN"
-}
diff --git a/variables.tf b/variables.tf
index 254fff09..958b0f8e 100644
--- a/variables.tf
+++ b/variables.tf
@@ -90,3 +90,9 @@ variable "allowed_bucket_actions" {
   default     = ["s3:PutObject", "s3:PutObjectAcl", "s3:GetObject", "s3:DeleteObject", "s3:ListBucket", "s3:ListBucketMultipartUploads", "s3:GetBucketLocation", "s3:AbortMultipartUpload"]
   description = "List of actions the user is permitted to perform on the S3 bucket"
 }
+
+variable "allow_encrypted_uploads_only" {
+  type        = "string"
+  default     = "false"
+  description = "Set to `true` to prevent uploads of unencrypted objects to S3 bucket"
+}