AWS lambda to create ec2 instance using Launch template and boto3 only using the required permissions

I am having problems setting the correct permissions to my IAM role that is assumed by a lambda function. The purpose of the lambda is to launch ec2 instance using the provided Launch Template. However, I am constantly getting You are not authorized to perform this operation.errors due to not correct permissions of the IAM role.

The only policy I am attaching at the moment to the role is this one:

{
    "Version": "2012-10-17",
    "Statement": [
        {
            "Effect": "Allow",
            "Action": [
                "logs:CreateLogGroup",
                "logs:CreateLogStream",
                "logs:PutLogEvents"
            ],
            "Resource": "arn:aws:logs:*:*:*"
        },
        {
            "Effect": "Allow",
            "Action": [
                "ec2:RunInstances",
                "ec2:GetLaunchTemplateData"
            ],
            "Resource": "*"
        }
    ]
}

Lambda boto3/python code:

import boto3

ec2 = boto3.resource('ec2')

lt = {
    # 'LaunchTemplateId': 'lt-0b91c7e5c5437a1c1',
    'LaunchTemplateName': 'template_name',
    'Version': '$Latest'
}


def handler(event, context):

    instances = ec2.create_instances(
        LaunchTemplate=lt,
        MinCount=1,
        MaxCount=1
        # UserData=user_data
    )

Note: If I attach AmazonEC2FullAccess AWS Managed policy to the lambda role it works fine

What am I missing?

Also, is there an easy way of finding what are the "bare minimum" IAM policy permissions that are needed by a resource to function?