iCloud error: Outlook isn't configured to have a default profile

Many users are reporting problems configuring iCloud in Outlook on brand new computers. When they check the box for Mail, Contacts, Calendars they receive and error error message that there is no default profile.

The users typically have one profile, it’s set as the default, Outlook is set as the default. Everything should be working.

I am trying to setup Microsoft Office 365 Outlook to sync with iCloud. When I check the box for Mail, Contacts, Calendars I get an error message: "Setup can't continue because Outlook isn't configured to have a default profile. Check your Outlook settings and try again."

I have one profile in Outlook, with the "Always use this profile" selected. I worked with Apple Support and Dell Support, uninstalled and reinstalled both applications, restarted my system many times, all to no avail. I have also confirmed that the iCloud Outlook Add-in is shown as Active in the Outlook File/Options/Add-ins screen.

We know the problem is caused in part by having the Windows Store version of Office preinstalled and installing the Click to run version from Office.com.

iCloud and most addins will not work with the store version at this time. You need to install the click to run version from Office.com

After weeks of investigating, there is finally a workaround.
 
Installing the current version of Office from office.com should remove the store version, but to insure it is removed, run these cmdlets:

Open PowerShell in run as admin mode then paste:

Get-AppxProvisionedPackage -Online | where-object {$_.packagename –like "*Outlook*"} | Remove-AppxProvisionedPackage -Online

Then:

Get-AppxPackage "*Outlook*" | Remove-AppxPackage

Get-AppxPackage "*Outlook*" | Remove-AppxPackage

Next, set icloud.exe to run in Windows 7 or Windows 8.1 Compatibility mode.

To do this, go to C:\Program Files (x86)\Common Files\Apple\Internet Services, locate icloud.exe, right-click on it and choose Properties. Switch to the Compatibility tab and enable compatibility mode.

Now try enabling iCloud to sync Calendar and Contacts. It should work.